First, we find that Covid did not even generate a kink in the curve in the demand for private assets, and they have higher fee potential. We base this on a recent article that covers how BlackRock Inc, the world's largest asset manager, is pushing more aggressively into private market investments. Second, infrastructure - a core component of the ‘private’ asset class - plays a part to not shrink oil production opportunities in Saudi Arabia.
This in turn is based on an article the details how BlackRock has been hired by Saudi Arabia to advise a new investment fund established to help finance a drive to upgrade infrastructure across the world’s biggest oil exporter. Third, private assets are incredibly cheap on a relative basis, even arbitrageable, as they are not scrutinised on climate/ESG grounds the same way as public assets.