Morningstar’s wealth division has announced a partnership with three major financial firms — Apollo Global Management, Franklin Templeton, and J.P. Morgan Asset Management — to roll out a new series of investment portfolios designed to give everyday retail investors a foothold in both private and public markets.
According to Morningstar, the initial portfolios will provide exposure to private credit and real estate through what are known as interval funds. Those interval funds are expected to make up approximately 12% to 20% of each portfolio’s total allocation.
The portfolios are scheduled to become available later this year and will be structured using exchange-traded funds alongside interval funds, with the goal of making private market investments more accessible to individual investors.
This collaboration reflects a broader shift happening across Wall Street, where major financial institutions are working to open up private markets to a wider audience. Historically, these types of investments have been available only to large institutional investors and individuals with extremely high net worth.
Franklin Templeton’s CEO Jenny Johnson spoke to the significance of the moment, saying: “When I think about why private markets matter now more than ever, it’s not just access but also focus on the long-term in a short-term world. We are living in an environment of persistent inflation and structural uncertainty.”
Morningstar’s new public/private select series will feature six different portfolios built around varying levels of risk tolerance, spanning from conservative capital preservation strategies all the way to more aggressive growth options.
