Steve Brennan, Co-Head of Evergreen Portfolio Management for Hamilton Lane, joined Julie Cooling, Founder and CEO of RIA Channel, at iCapital Connect 2026 to discuss why advisors are turning to private markets for diversification and AI-driven opportunities.
A Hamilton Lane 2026 Global Private Wealth Survey of about 400 advisors found that 86% of those surveyed plan to increase their allocations to private markets this year. Brennan emphasizes that as public markets become increasingly concentrated, advisors are looking to diversify away from traditional stocks and bonds and toward private markets.
Within private markets, the survey identified venture capital and growth as the leading strategy among advisors. Brennan notes that 50% of venture capital investments are in AI-related companies. Combined with the trend of companies staying private for longer, Brennan explains that this reinforces the need for investors to look beyond public markets to gain access to leading technology businesses benefiting from the AI revolution.
Brennan also highlights the role of private markets in improving portfolio resilience. According to a Hamilton Lane analysis, adding a 25% allocation to private markets in a balanced portfolio, split broadly across private market asset classes, has the potential to decrease risk while increasing returns.
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