No Result
View All Result
SUBMIT YOUR ARTICLES
  • Login
Tuesday, October 28, 2025
TheAdviserMagazine.com
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
No Result
View All Result
TheAdviserMagazine.com
No Result
View All Result
Home Market Research Stock Market

Morningstar PitchBook index tracks exposure to public and private assets

by TheAdviserMagazine
2 months ago
in Stock Market
Reading Time: 4 mins read
A A
Morningstar PitchBook index tracks exposure to public and private assets
Share on FacebookShare on TwitterShare on LInkedIn


Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., August 14, 2025.

Brendan McDermid | Reuters

With the desire to have private market exposure alongside publicly traded stocks gaining traction among investors, Morningstar has developed a benchmark to reflect the trend.

The Morningstar PitchBook US Modern Market 100 Index, or the Modern Market 100, is the first to combine public and private equity exposure in one index, the investment research company announced Wednesday. The benchmark is meant to capture the performance of 100 of the largest U.S. companies, broken down to 90 public firms and 10 venture-backed companies, the firm said.

The 90/10 skew is designed to reflect what Morningstar considers the modern asset universe, which is one where opportunities are expanding in the private markets and companies such as OpenAI and Stripe are able to stay private for longer.

“Companies don’t feel the urge to go public because they can raise a lot of capital,” Sanjay Arya, head of innovation, index products, at Morningstar. “So, to ignore them, I think you’re missing out on some of the fastest, most dynamic companies out there.”

Retail investors’ growing access to private markets in Europe could be a double-edged sword

The private equity universe is dwarfed by the value of publicly held companies. The U.S. public stock market is worth roughly $60 trillion, while the U.S. private equity universe is roughly $8 trillion, Arya said. However, private companies may reflect where the economy is heading.

“The indexes are supposed to give you an indication about what the economy is, or the market sentiment is, or where people investors should be looking for opportunities,” Arya said. “And you can’t do that on public markets alone if a big chunk of it is outside public markets.” 

The trend may become even more pronounced. Alternative asset managers notched a big win this summer after President Donald Trump in August signed an executive order clearing the path for alternative assets to be added into 401(k)s. 

Yet exposure to private assets has been growing for years. According to Morningstar, since 2021, crossover investors including sovereign wealth funds, private equity buyout firms, and hedge funds have been involved in roughly 5,000 private market transactions totaling $450 billion. Arya is hoping the Modern Market 100 will give investors a framework to benchmark performance across both asset classes.

It isn’t without its challenges, however. The work started roughly four years ago, Arya said, explaining that the firm needed to develop a rules-based process for a public-private benchmark, given the challenge in pricing securities for private assets. He said his team relied on secondary trading platforms such as Caplight and Zanbato to aggregate pricing transaction data. The index also applies liquidity screens, quarterly rebalances and daily calculations.

More risk

The index is also tracking companies with inherently more risk given their preference for the largest cap companies, which tend to skew toward big tech. The top 10 public constituents in the modern market index include Microsoft, Nvidia, Apple, Amazon and Meta Platforms. The top 10 private constituents include SpaceX, OpenAI, xAI and Stripe.

In other words, there’s a preference for growth companies with more inherent risk. That could mean the index is vulnerable to a pullback if the tech sector starts to falter — especially at a moment when many investors fear the megacaps are priced for perfection.

On the other hand, it could mean the benchmark is poised to capture more outperformance. In a white paper, Morningstar showed that the 1-year return for the Modern Market index is 28.2%. Over the same time period, the S&P 500 jumped 20%.

According to Arya, the index allows investors to track a very different opportunity than what is captured in major benchmarks. After all, OpenAI, a company reportedly valued at $500 billion, is bigger than Exxon Mobil, Palantir or Procter & Gamble, and yet it’s a name that most investors have little exposure to in their portfolios.

He noted that benchmarks have evolved over time to better reflect the drivers of economic growth, starting with the railroad companies that defined the Dow Jones Industrial Average at its inception in the late 1800s to the innovation economy of today.

“We have this big component of innovation economy, and not being able to fully capture that, which is mostly right still in the late-stage venture space, I think it just kind of provides a fuller picture.” Arya said.

“That actually helps you understand how these contours are kind of shifting over time,” he continued. “I think, provides great insights for investors.”



Source link

Tags: assetsExposureindexMorningstarPitchBookprivatePublictracks
ShareTweetShare
Previous Post

Higher Education Council opens way to Eilat medical school

Next Post

Miss Out on Investment Gains? Your Biology May Be to Blame

Related Posts

edit post
The Evolution of Resale and Recommerce in Retail

The Evolution of Resale and Recommerce in Retail

by TheAdviserMagazine
October 22, 2025
0

Resale has always been part of retail, but how it’s managed has changed dramatically over the past century. From clearance...

edit post
Beyond Meat shares surge as meme traders buy stock

Beyond Meat shares surge as meme traders buy stock

by TheAdviserMagazine
October 22, 2025
0

Cfoto | Future Publishing | Getty ImagesBeyond Meat rallied for a third straight day Wednesday as meme traders jump on...

edit post
How to Turn Your Bucket List Into an Investment Plan

How to Turn Your Bucket List Into an Investment Plan

by TheAdviserMagazine
October 21, 2025
0

Bucket list dreams aren’t just for someday—they can shape how you invest today. We all carry dreams: dancing at a...

edit post
One-time penny stock Beyond Meat soars after addition to meme ETF, jumps 47% on Tuesday

One-time penny stock Beyond Meat soars after addition to meme ETF, jumps 47% on Tuesday

by TheAdviserMagazine
October 21, 2025
0

In this photo illustration, Beyond Meat's Beyond Burgers are shown on February 29, 2024 in Chicago, Illinois.Scott Olson | Getty...

edit post
There’s No Hiding from Holiday Returns and Overstock

There’s No Hiding from Holiday Returns and Overstock

by TheAdviserMagazine
October 16, 2025
0

The holiday rush doesn’t end at checkout; in fact, it’s just the beginning for retailers and brands bracing for the...

edit post
Financial Feminism 101: Why Every Woman Should Talk Investing

Financial Feminism 101: Why Every Woman Should Talk Investing

by TheAdviserMagazine
October 15, 2025
0

Let’s be honest — investing talk still feels like a man’s world. Suits, charts, golf, and jargon that make finance...

Next Post
edit post
Miss Out on Investment Gains? Your Biology May Be to Blame

Miss Out on Investment Gains? Your Biology May Be to Blame

edit post
Tel Aviv light rail still underused

Tel Aviv light rail still underused

  • Trending
  • Comments
  • Latest
edit post
77-year-old popular furniture retailer closes store locations

77-year-old popular furniture retailer closes store locations

October 18, 2025
edit post
Pennsylvania House of Representatives Rejects Update to Child Custody Laws

Pennsylvania House of Representatives Rejects Update to Child Custody Laws

October 7, 2025
edit post
What to Do When a Loved One Dies in North Carolina

What to Do When a Loved One Dies in North Carolina

October 8, 2025
edit post
Another Violent Outburst – Democrats Inciting Civil Unrest

Another Violent Outburst – Democrats Inciting Civil Unrest

October 24, 2025
edit post
Probate vs. Non-Probate Assets: What’s the Difference?

Probate vs. Non-Probate Assets: What’s the Difference?

October 17, 2025
edit post
California Attorney Pleads Guilty For Role In 2M Ponzi Scheme

California Attorney Pleads Guilty For Role In $912M Ponzi Scheme

October 15, 2025
edit post
Depictions of Disability in Popular Culture

Depictions of Disability in Popular Culture

0
edit post
I’m a Professional Thrifter. Here’s What I Do Differently When Shopping at Goodwill.

I’m a Professional Thrifter. Here’s What I Do Differently When Shopping at Goodwill.

0
edit post
The National Debt Soars Past  Trillion

The National Debt Soars Past $38 Trillion

0
edit post
Scott Galloway calls real estate ‘the most tax-advantaged’ investment you can make in the US

Scott Galloway calls real estate ‘the most tax-advantaged’ investment you can make in the US

0
edit post
Ethereum Price Jumps 7% On M SharpLink Gaming Buy

Ethereum Price Jumps 7% On $81M SharpLink Gaming Buy

0
edit post
The One Savings Rule Boomers Need Post-Retirement to Avoid Running Out of Cash

The One Savings Rule Boomers Need Post-Retirement to Avoid Running Out of Cash

0
edit post
Scott Galloway calls real estate ‘the most tax-advantaged’ investment you can make in the US

Scott Galloway calls real estate ‘the most tax-advantaged’ investment you can make in the US

October 28, 2025
edit post
Auto sector enters long-term growth cycle; M&M, Maruti, Bajaj Auto among top picks: Sandip Sabharwal

Auto sector enters long-term growth cycle; M&M, Maruti, Bajaj Auto among top picks: Sandip Sabharwal

October 28, 2025
edit post
BlackRock Ethereum ETF purchases .5M in ETH

BlackRock Ethereum ETF purchases $72.5M in ETH

October 28, 2025
edit post
The World Confronts the Genocide Washington Is Trying to Bury

The World Confronts the Genocide Washington Is Trying to Bury

October 28, 2025
edit post
Israel-US fares stay high despite return of foreign carriers

Israel-US fares stay high despite return of foreign carriers

October 28, 2025
edit post
Positive Breakout: These 11 stocks cross above their 200 DMAs – Upside Ahead?

Positive Breakout: These 11 stocks cross above their 200 DMAs – Upside Ahead?

October 27, 2025
The Adviser Magazine

The first and only national digital and print magazine that connects individuals, families, and businesses to Fee-Only financial advisers, accountants, attorneys and college guidance counselors.

CATEGORIES

  • 401k Plans
  • Business
  • College
  • Cryptocurrency
  • Economy
  • Estate Plans
  • Financial Planning
  • Investing
  • IRS & Taxes
  • Legal
  • Market Analysis
  • Markets
  • Medicare
  • Money
  • Personal Finance
  • Social Security
  • Startups
  • Stock Market
  • Trading

LATEST UPDATES

  • Scott Galloway calls real estate ‘the most tax-advantaged’ investment you can make in the US
  • Auto sector enters long-term growth cycle; M&M, Maruti, Bajaj Auto among top picks: Sandip Sabharwal
  • BlackRock Ethereum ETF purchases $72.5M in ETH
  • Our Great Privacy Policy
  • Terms of Use, Legal Notices & Disclosures
  • Contact us
  • About Us

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.