The Chartered Alternative Investment Analyst Association (CAIA) invited iownit’s CEO, Rashad Kurbanov for a conversation about private securities markets.
After Rashad had his first piece published on CAIA’s blog, AllAboutAlpha, we had some broader discussions with Bill Kelly and Aaron Filbeck about the implications of the DOL decision regarding private equity investments, and the SEC’s discussion regarding the definition of an accredited investor.
We thought it made sense to have a focused conversation on these topics and address what we view as the key points for consideration. Rashad, Bill, and Aaron discussed how market infrastructure can evolve to facilitate investing in private securities. They discuss what elements of public markets could be brought into private markets, and vice versa.
Some of the questions addressed were:
- How do both markets approach disclosures and transparency?
- How has the growth of private equity firms in the last 40 years impacted returns as the market has become crowded?
- How important is liquidity, and could liquidity ever be a negative?
- What are the actual differences between the public and private markets?
- How will the introduction of technology impact private markets?
- How can price discovery be improved in private securities markets?
- Are we witnessing an Evolution or Revolution in private markets?
You can watch and listen to the full conversation below:
The key topics discussed were:
- The recent SEC accredited investor ruling.
- Current access to private markets.
- How technology provides operational efficiency and increased transparency in private markets.
William (Bill) J. Kelly is the CEO of the CAIA Association. Bill has been a frequent industry speaker, writer, and commentator on alternative investment topics around the world since taking the leadership role at the CAIA Association in January, 2014.
Previously, Bill was the CEO of Boston Partners and one of seven founding partners of the predecessor firm, Boston Partners Asset Management which, prior to a majority interest being sold to Robeco Group in Rotterdam in 2002, was an employee-owned firm. Bill’s career in the institutional asset management space spans over 30 years where he gained extensive managerial experience through successive CFO, COO and CEO roles.