What does this mean for you as a high-net-worth investor? As private markets grow, there’s significant value to be captured by diversifying beyond publicly listed assets – if you make the right investment moves.
For the longest time, the dream was to own a slice of corporate giants like Apple, Google or Netflix. But the financial landscape is now changing. Companies that once rushed to go public are choosing to stay private for longer: Since 1996, the number of publicly listed companies in the US has dropped by more than 50%.
This trend has continued into 2023 amid volatility in the equity markets. In a surprising twist, Bloomberg Intelligence found that the number of public companies that went private outpaced IPOs by US companies this year. The total value of take-private deals came up to US$113 billion ($154.36 billion), in stark contrast to the US$9.3 billion raised through traditional IPOs.
