This is Exchanges at Goldman Sachs and I'm Allison Nathan a senior strategist in Goldman Sachs research.

Today we're going to talk about the growing role that hedge funds are playing in the private

markets, what that means for investors, and how that's affecting the interplay between

the public and private markets.

To do that, we're joined by Kristen Kramer and Freddie Parker from our global markets division.

Kristen Freddie, welcome to the program.

Thanks so much for having us.

Thank you.

Your team recently published a report that looks at the nature of hedge funds participation

in the private markets, particularly in private equity and venture capital.

Put this into context for us and talk about how and why you decided to focus on this topic.

Absolutely. We've observed an acceleration of activity in private markets

among our hedge fund clients.

So we wanted to understand the key drivers

and the implications on our industry.

We believe there's a confluence of factors at play here and the first is that

there's been a pretty significant shift in the capital formation process for companies.

You'll often hear this conventional wisdom

that companies are staying private for longer.

And that may be the case over a multi-decade period,

but our research actually suggests

that the time to IPO has been largely stable for the past 15 years or so,

...