How much of my portfolio should I invest in private markets?

This cannot be answered universally. The appropriate share depends on personal investment goals, the investment horizon, liquidity needs, and individual risk profile. In the context of asset allocation, analyses from the BlackRock Investment Institute indicate that a mix of private market investments can be sensible at up to 20% of a portfolio. Such an allocation to a traditional portfolio with 60% stocks and 40% bonds shows a better risk-return profile in historical comparison: the expected return increases from 5.5% to 7.2% over a ten-year period, while the risk disproportionately rises from 11.3% to 12.7%.¹

This return potential is now made available to Scalable Capital clients with the respective risk capacity. Interested parties can from now on sign up to a waiting list to receive regular updates until the planned start in April. They will also receive information on private markets investments and be the first to find out when the BlackRock Private Equity Fund will be available in the Scalable Broker. Investments involve risks. Liquidity restrictions apply. Consider specific product information.

¹ Risk and Capital Market Assumptions data as of 30.06.2023; currency: EUR; time period: 10 years. Return assumptions are total nominal returns. Asset return expectations are net of assumed fees. Fees and alpha are estimates for illustrative purposes only and do not represent any actual fund performance.