US-based wealth managers plan to increase their allocations to alternative investments, particularly private assets, from 12.8 per cent to 14.5 per cent in 2025.
According to the latest Natixis Investment Managers Wealth Industry Survey, 55 per cent of these managers intend to add private credit offerings in the year ahead.
Three quarters of wealth managers said that they incorporate private market assets for diversification, though 66 per cent cited liquidity concerns as a challenge.
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The survey also found that market disruption remains a concern for 2025, with US wealth managers facing uncertain economic conditions, rapid technological advancements, regulatory changes and a wave of industry consolidation.
59 per cent of the wealth managers surveyed cited high valuations and inflation as their top portfolio risk concerns.
Almost half (45 per cent) of US wealth managers now plan to expand their service offerings, including private assets, direct indexing and active ETFs to bolster growth in the year ahead.
Meanwhile, 82 per cent of US wealth managers are embracing model portfolios to improve efficiency and client retention.
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“Following a year of contentious national elections in the US and other major economies, wealth managers are moving to adapt to policy changes, economic uncertainty, technological advances, and industry consolidation,” said Dave Goodsell, executive director of the Natixis Center for Investor Insight.
“To secure both short-term asset growth and long-term prosperity, wealth managers recognize that broadening their service offerings and delivering more sophisticated investment options to clients will be critical.”
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