It's not an if. It's really a went. There's no doubt in my mind in a decade from now,

we will see very meaningful allocations within that DC market to private markets. Whether it's

10%, 15%, it's going to be really, really big. I would say over the next three to five years,

the off the shelf is going to take the longest time

to get adoption to move. But in the meantime, you're going to see a lot of allocations through

managed accounts and custom target date. It will be a hockey stick, but it's not going to be

a hockey stick in the next couple of months or a couple of quarters. It really is going to take

years for this to play out.

I'm Ted Sides, and this is Capital Allocators.

The movement of private wealth allocations to alternatives is one of the biggest questions

impacting the future of private markets.

Our private wealth miniseries shared perspectives from allocators and managers on the space.

Since then, an executive order opened the door for 401K plans to adopt alternatives.

I wrote, in recent musings for our premium members,

that private market allocations in retirement plans may be a big deal down the road,

but there's no need to worry about a flood of capital hitting the private markets anytime soon.

To understand why, I asked Eric Mogulov to come back on the podcast and explain

how capital flows in the retirement markets. Eric is the head of global client solutions at KKR

and join me on the Private Wealth mini series. In this hot take, Eric breaks down the retirement market

across defined benefit, defined contribution,

and IRA plans, the importance of target date funds to 401Ks, and the decision-making process

required for these various structures to adopt alternatives.

...