Alt Goes Mainstream: The Latest on Alternative Investments, WealthTech, & Private Markets
00:40:57 · Michael Sidgmore, Yann Magnan
[00:40:57] S1: You think eventually AI will get smart enough or better than humans at doing that? [00:41:03] S0: Yes. I think it's probably already happening. But again, in the world I live in, the question is, what do you turn to when you have a question? And if AI can't answer how they come up with a certain result, it defeats the purpose. So it's, I mean, what I do is a very, very different set of value proposition as compared to what an hedge fund could be doing, for example, where they try to beat the market. We are doing something different. We're trying to inform the market in a governed environment, auditable and traceable. So from that perspective, I would caution things. [00:41:42] S1: If we zoom out and think about just the evolution in private markets infrastructure from pre to post investment, things have evolved pretty quickly. What do you think is the next big thing as it relates to this evolution in market structure, and what needs to happen from a post trade perspective to continue to improve the private markets processes and experience for both GPs and LPs?
00:41:42 · Michael Sidgmore, Yann Magnan
[00:41:42] S1: If we zoom out and think about just the evolution in private markets infrastructure from pre to post investment, things have evolved pretty quickly. What do you think is the next big thing as it relates to this evolution in market structure, and what needs to happen from a post trade perspective to continue to improve the private markets processes and experience for both GPs and LPs? [00:42:09] S0: I think that piece is a lot about data, sharing data between one piece and one part and another one. And, you know, the way I'm looking into things, we are working with GPs and we have clients that are also LPs. We are sovereign wealth funds. So we are on both sides of the equation. And, I mean, I don't come from a technology background, but I've always been surprised that you have data and processes in a certain G2 format on one side of the equation. And then suddenly everything is put in a PDF so that it goes to the other side of the equation. Why is that happening? I think at some point in time anyway, as we move towards more transparency for everything that we discussed already in this conversation, At some point in time, there should be a way that data, some data is shared between the GP and the LP in a more digital format so that LPs can also make their decision faster and better. And so I think that's one of the piece of the equation that's missing it there.
00:42:09 · Yann Magnan, Michael Sidgmore
[00:42:09] S0: I think that piece is a lot about data, sharing data between one piece and one part and another one. And, you know, the way I'm looking into things, we are working with GPs and we have clients that are also LPs. We are sovereign wealth funds. So we are on both sides of the equation. And, I mean, I don't come from a technology background, but I've always been surprised that you have data and processes in a certain G2 format on one side of the equation. And then suddenly everything is put in a PDF so that it goes to the other side of the equation. Why is that happening? I think at some point in time anyway, as we move towards more transparency for everything that we discussed already in this conversation, At some point in time, there should be a way that data, some data is shared between the GP and the LP in a more digital format so that LPs can also make their decision faster and better. And so I think that's one of the piece of the equation that's missing it there. [00:43:12] S1: What are you most excited about as it relates to the next iteration of market structure evolution in private markets? Interconnection. Who does that? What's the right type of firm to do that? [00:43:24] S0: It's about trust. GPs have to trust that their partner is going to be able to deliver. And it's about trust that the data goes in the right place, you know, at the right point in time. So, yeah, let's see.
00:43:24 · Yann Magnan, Michael Sidgmore
[00:43:24] S0: It's about trust. GPs have to trust that their partner is going to be able to deliver. And it's about trust that the data goes in the right place, you know, at the right point in time. So, yeah, let's see. [00:43:41] S1: I think that means that smile means there's more to come. There's a lot going on. This has been a fascinating conversation. I think so much insight into both the human and the technology experience that relates to valuations, what's happening today. Was a fascinating conversation. Thanks so much, Yann. Thank you. Thanks for listening to this episode of Alt Goes Mainstream. I hope you enjoyed it. You can read more about alts at my substack, altgoesmainstream.substack.com. Thanks a lot, and have a great day. We're going mainstream.