Goldman Sachs' Kyle Kniffen - standing on the shoulders of Goldman Sachs to be "a complete partner" for the wealth channel

Welcome back to the Alt Goes Mainstream podcast. Today’s episode is with someone responsible for growing the footprint of one of the largest private markets businesses in the industry. We sat down at Goldman Sachs’ 200 West office with Kyle Kniffen to discuss the evolution of the firm’s work with the wealth channel and how an intensified focus on private markets is helping to drive the firm’s strategic imperatives in asset and wealth management. Kyle is a Managing Director, Global Head of Alternatives, Third Party Wealth, at Goldman Sachs, which has over $500B of AUM in private markets. He’s responsible for the distribution of both Goldman Sachs private markets products and third party products to the wealth channel. Kyle and I had a fascinating conversation about the most pressing trends and questions in private markets. We discussed:How lessons learned from traditional asset management have helped Goldman with its private markets business.The benefits of a broad platform when it comes to helping the wealth channel navigate private markets.Why advisors should integrate private markets solutions.How to build a wealth channel business.How to think about evergreen funds versus closed end funds.The next innovation in productization.Why co-investments are becoming more popular with the wealth channel.Are evergreen funds here to stay? Thanks Kyle for coming on the show to share your wisdom and expertise. Subscribe to Alt Goes Mainstream to receive the weekly newsletter every Sunday and all of AGM’s podcasts. A word from AGM podcast sponsor, Ultimus Fund Solutions This episode of Alt Goes Mainstream is brought to you by Ultimus Fund Solutions, a leading full-service fund administrator for asset managers in private and public markets. As private markets continue to move into the mainstream, the industry requires infrastructure solutions that help funds and investors keep pace. In an increasingly sophisticated financial marketplace, investment managers must navigate a growing array of challenges: elaborate fund structures, specialized strategies, evolving compliance requirements, a growing need for sophisticated reporting, and intensifying demands for transparency. To assist with these challenging opportunities, more and more fund sponsors and asset managers are turning to Ultimus, a leading service provider that blends high tech and high touch in unique and customized fund administration and middle office solutions for a diverse and growing universe of over 450 clients and 1,800 funds, representing $500 billion assets under administration, all handled by a team of over 1,000 professionals. Ultimus offers a wide range of capabilities across registered funds, private funds and public plans, as well as outsourced middle office services. Delivering operational excellence, Ultimus helps firms manage the ever-changing regulatory environment while meeting the needs of their institutional and retail investors. Ultimus provides comprehensive operational support and fund governance services to help managers successfully launch retail alternative products. Visit www.ultimusfundsolutions.com to learn more about Ultimus’ technology enhanced services and solutions or contact Ultimus Executive Vice President of Business Development Gary Harris on email at gharris@ultimusfundsolutions.com. We thank Ultimus for their support of alts going mainstream. Show Notes 00:42 Introduction to the Podcast and our Guest 02:00 A message from our Sponsor, Ultimus Fund Solutions 04:06 Kyle’s Background and Journey 04:18 Wealth Channel Strategies and Insights 05:06 Goldman's Heritage in Private Markets 05:28 Client Demand for Thought Partnership 06:13 Public Markets Perspective 07:07 Consultative Sales Approach 07:21 Lessons from Institutional Segment 09:05 Quality of Investment Flow 10:51 Serving the Third Party Wealth Channel 12:53 Client Segmentation and Customization 15:16 Global Reach and Relationship Building 22:43 Product Innovation and Future Trends 27:12 Balancing Client Needs in Alternative Investments 27:47 Who Should Invest in Alternatives? 28:36 Asset Liability and Liquidity in Investment Strategies 29:28 Technology Innovations in Private Markets 30:00 Exciting Progress in Alternative Strategies 30:46 Transparency and Communication in Investments 31:14 The Puzzle of Private Market Structures 31:54 Post-Sale Transparency and Investor Experience 33:27 Engaging Clients Through Brand and Marketing 35:37 Customization in Wealth Management 37:24 Educating Advisors on Private Markets 37:47 Delivering Unique Insights and Education 39:01 Goldman Sachs Investment University 41:09 Lessons from ETFs and Mutual Funds 41:54 The Importance of Performance and Education 43:11 Tools for Advisors and Real-Life Applications 44:06 Understanding Private Markets' Impact on Portfolios 47:19 Excitement Around Private Equity Secondaries 49:02 Advisors' Interests in Tax-Advantaged Strategies 49:47 The Role of Liquidity in Private Markets 50:35 The Importance of Scale in Private Markets 51:38 Future of Private Equity Secondaries 52:14 The Permanency of Secondary Markets 52:52 Conclusion: The Benefits of a Global Platform   Editing and post-production work for this episode was provided by The Podcast Consultant.