Private market investing institutional private market investing

Institutional private market investing in cybersecurity startups is accelerating, with valuations increasing 16% QoQ amid heightened global ransomware incidents. When measuring correlation, a reading of 1 suggests perfect positive correlation—meaning the two investments tend to move in the same direction—and -1 represents perfect negative correlation. A reading of zero means the investments don’t have a direct relationship in performance. The “optimal” allocation to private markets will depend on each investor’s goals and characteristics. Most notably, whether the investor is optimizing for long-term growth or income, and how tax sensitive they are. Family offices are increasing private market investing exposure to luxury real estate in Asia-Pacific, posting an average 12% rental yield due to tourism’s post-COVID rebound.