This episode explores the unconventional career path of Harvey Schwartz, CEO of the Carlyle Group, and the evolving landscape of private markets. Against the backdrop of Schwartz's personal journey, marked by early challenges and the pivotal role of mentors, the conversation delves into Carlyle's diverse investment strategies across private equity, real estate, and credit. More significantly, the discussion highlights the increasing trend of companies remaining private for longer periods, fueled by readily available capital from various sources, including pension funds and individual wealth. For instance, Schwartz cites the growth of private credit as a key driver, emphasizing its resilience even amidst significant interest rate hikes. As the discussion pivoted to the future of private markets, Schwartz anticipates continued growth, driven by the increasing pool of capital and the efficiency of private financing. He emphasizes the importance of scale, reputation, and technological adaptation for firms navigating this evolving space. This means for wealth advisors, private markets present a significant opportunity, but careful consideration of client suitability and a long-term investment approach are crucial.
