BlackRock's Fabio Osta Sees AI Buildout Driving Private Markets Demand

According to CNBC, BlackRock's Fabio Osta said the AI buildout is a once-in-a-lifetime investment shift that is boosting appetite for private markets and pushing wealthy investors away from the traditional 60/40 equities-bonds mix. Osta, managing director and head of the alternatives specialists team, EMEA wealth at BlackRock, said private markets are becoming more accessible, more holistic and more transparent for wealthy individual investors, while institutional investors and high-net-worth individuals are showing strong demand. He said global alternative assets under management are expected to rise from $20 trillion to $30 trillion by 2030, and said he is recommending a 50/30/20 split across equities, bonds and private markets for wealth clients. Osta also said BlackRock views AI as a core private-markets opportunity, described the sector as being in the early stages of buildout, and pointed to Mistral's recent 3 billion euro ($3.49 billion) fundraise as an example of AI-private markets opportunities.