INVEST
Diversification Benefits
INVEST
Diversification Benefits
Private Equity Has Low Correlations to Traditional Assets
Private Equity Has Low Correlations to Traditional Assets
Cross-Asset Correlation Matrix
Source: Cambridge Associates, MSCI, Bloomberg, Barclays, BAML. KK CPS, KKR Private Markets Portfolio Construction Team. Cash proxy is 3m US Treasury Bills TR (1990 - 2022). Equities proxy is MSCI Gross World USD Hedged (1990 - 2022); Government Bond Proxy is Barclays Global Agg Hedged USD (1997 - 2022); IG Corporate Bond proxy is BAML Global IC Corporate TR USD Hedged (1997 - 2022): HY Bonds proxy is BAML Global HY Hedged USD (1998 - 2022); MBS is Bloomberg Barclays US MBS Index TR (1990 - 2022); Private Equity proxy is Cambridge Associates Global Buyouts (1990 - 2022); Growth Equity proxy is Cambridge Associates Global Growth (1990 - 2022)
Source: Cambridge Associates, MSCI, Bloomberg, Barclays, BAML. KK CPS, KKR Private Markets Portfolio Construction Team. Cash proxy is 3m US Treasury Bills TR (1990 - 2022). Equities proxy is MSCI Gross World USD Hedged (1990 - 2022); Government Bond Proxy is Barclays Global Agg Hedged USD (1997 - 2022); IG Corporate Bond proxy is BAML Global IC Corporate TR USD Hedged (1997 - 2022): HY Bonds proxy is BAML Global HY Hedged USD (1998 - 2022); MBS is Bloomberg Barclays US MBS Index TR (1990 - 2022); Private Equity proxy is Cambridge Associates Global Buyouts (1990 - 2022); Growth Equity proxy is Cambridge Associates Global Growth (1990 - 2022)