(Bloomberg) — HarbourVest Companions has employed an govt from BlackRock Inc. to spice up its choices for rich people, an space of accelerating focus within the sector as some institutional traders pare their non-public fairness holdings.
Venu Krishnamurthy joined the Boston-based HarbourVest, which manages greater than $147 billion, as head of worldwide non-public wealth. He had served as a high govt for BlackRock’s Aladdin know-how system, the place he oversaw the wealth administration enterprise.
HarbourVest goals to faucet Krishnamurthy’s digital experience to assist broaden the attain of its merchandise that concentrate on rich traders, Chief Government Officer John Toomey mentioned in an interview.
Personal fairness corporations are combating for the enterprise of rich people, a largely untapped shopper supply, because the endowments and pension funds which have traditionally plowed their cash into the business look to diversify elsewhere.
Based as a fund of funds 4 a long time in the past, HarbourVest has struck partnerships with Vanguard Group and different companions in recent times in its bid to make non-public fairness accessible to particular person traders. The agency has additionally launched open-end funds to entice the rich, together with one earlier this yr that supplied publicity to nearly 40 corporations throughout 30 managers.
HarbourVest now has nearly 100 workers in its wealth enterprise. In a given yr, 15% to twenty% of the capital raised by the agency comes from rich traders, in line with Toomey, a determine that he expects to rise over the long run. HarbourVest sees its multimanager technique as a aggressive edge in a market the place liquidity is essential.
“It permits us to take a position at fairly vital scale,” Toomey mentioned. “We’re investing with a lot of managers, versus simply the massive buyout or one phase of the market.”
