A New World of Private Equity Branding and Marketing Alternative Asset Classes
As new structures, access and investment vehicles develop, the mystery, exclusivity, and barriers surrounding private equity, venture capital, and even angel investing are now crashing down. Public perception is changing forever and this is leading to a significant increase in retail investors now seeking access to alternative asset classes. As such increases are typically accompanied by an increase in competition, the need for alternative asset firms to think about public image and communications, and for private equity and alternative asset managers to have an amplified emphasis on branding, marketing, and messaging. Alternative asset classes, which have long been a staple to institutional and high-net-worth investors, are now being marketed to retail investors, with alternatives and private equity in particular seeing a large influx in total assets under management.
According to a report by McKinsey & Co., public investment in alternative investments is going up significantly, doubling total global assets under management since 2005. Surprisingly, retail investors are driving the majority of that growth, likely the result of a variety of factors including investor sentiment, public fascination, education on alternatives, and accessibility, stemming for the most part from the changing regulations for alternative asset branding and marketing. This suggests that these increases in assets under management aren’t momentum-driven or cyclical, but rather an indication of a longer term structural shift that includes significantly more alternative asset and private equity marketing and website distribution.
Most importantly, the McKinsey report does note that “the competitive landscape in alternatives is still largely unformed,” meaning plenty of opportunity exists for alternative investment managers to establish themselves as leaders in the field, largely through investment marketing and financial branding strategies. Unlike pension plans or institutional investors who may be more influenced by relationships and access, retail investors tend to make investment decisions based more on public branding and financial advertising, making the development of a strong messaging platform and brand voice absolutely essential. Private equity and alternative asset websites, fund materials, and aspirational messaging are all essential in attracting retail investors, many of whom have could have less of a frame of reference as to which alternative asset manager they might prefer.
As the competitive landscape is just now forming, alternative asset managers have the rare opportunity to develop a leading financial branding and messaging platforms, setting themselves up as alternative asset thought leaders and content providers. The award-winning financial branding agency MBC Strategic offers and specializes in private equity branding and alternative asset management branding and marketing which are essential to setting your firm apart in the alternative investment landscape.
Take a look at some of our alternative asset branding projects: