There has been a strategic shift in advisor priorities, with private market investments moving from “niche to necessity,” according to the findings of an advisor insights survey by AssetMark released on Tuesday.
Ninety-one percent of the 400 U.S. financial advisors surveyed in September for “AssetMark Advisor Insights: Private Markets 2025” responded that access to private market investments had become critical for differentiation, AssetMark said.
Among advisors not currently offering private markets investments, 68% said they planned to add such investments within the next year, according to AssetMark.
Of that group, 59% said they would consider switching firms in order to have private markets access, which AssetMark said increased for advisors serving wealthy clients or those with higher assets under management (AUM). The firm said this number signals competition to meet demand.
“Advisors are signaling that private markets are no longer an optional service—they’re a strategic necessity,” Michael Kim, CEO and President of AssetMark, said in a news release announcing the survey findings. “Our research shows that clients’ desire for diversification, exclusivity, and inflation protection is accelerating adoption, and advisors are preparing to meet these expectations.”
According to the firm, it’s survey shows that private markets are key to advisor differentiation.
Among advisors already offering private market investments, 83% said they expected allocations to grow over the next three years, AssetMark said, noting that the number reflects rising client expectations – especially for high net worth clients – and increasing advisor conviction.
Despite strong interest, respondents said barriers such as high investment minimums and reduced liquidity limit broader adoption, especially for clients having less than $1 million in assets, and called for flexible redemption options, more transparency in data and fees, and seamless onboarding.
“Reducing entry points and improving liquidity are game changers,” according to David McNatt, AssetMark Executive Vice President, Chief Wealth Solutions Officer. “These enhancements could help advisors engage clients often excluded – including investors under 40 and emerging high net worth clients – creating modern solutions that facilitate multi-generation opportunities for firms.”
He added, “Pairing these advancements with education and ease of use will give advisors the confidence to integrate private markets into more portfolios.”
The firm pointed out that almost half of advisors who do not currently offer private markets investments manage at least $500 million in assets, and over 33% of them serve clients with household incomes greater than $1 million.
Those advisors “represent a significant opportunity for expansion into private markets—if accessibility and education improve,” according to AssetMark.
Fifty-three percent of survey respondents identified portfolio diversification as a factor that drives increased adoption, followed by investor education (50%) and ease of use (48%), AssetMark said.
AssetMark’s survey findings come after iCapital said advisors were increasingly embracing alternatives as a growth engine for clients’ investment portfolios, viewing them now as essential, multi-purpose portfolio components and no longer just part of diversification strategies, according to the findings of iCapital’s 2025 Global Advisor Survey.
As of Sept. 30, AssetMark said it had more than $158 billion in platform assets.
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
