This year is shaping up to be a strong one for private markets, with more high-net-worth (HNW) individuals diversifying into alternative assets. This trend is driven by increasing global instability and continued stock market volatility. Amidst this challenging environment, global private markets assets under management (AUM) are proving resilient.
According to McKinsey’s Global Private Markets Report 2025, total private markets AUM – comprising asset classes such as private equity, real estate, private debt and infrastructure – reached approximately $12.9 trillion by the end of 2024.
How Investors Typically Access Private Markets
Investors generally access private markets through a combination of:
- Direct investments, such as special purpose vehicles, transparent partnership structures, or unlisted securities.
- Indirect investments, typically via specialist or feeder funds structured for professional investors and domiciled outside the EEA.
These approaches introduce complexities not usually encountered with traditional bankable portfolios, including:
- Increased tax reporting and compliance obligations, both domestically and internationally.
- Exposure to overseas estate and transfer taxes.
- Greater complexity and cost in succession planning.
The Insurance-Based Solution
Multi-support insurance can help address these challenges. Depending on the policyholder’s jurisdiction, private markets can be accessed through insurance in a tax-compliant manner that:
- Simplifies tax reporting and compliance.
- Resolves issues related to asset recognition and classification in the policyholder’s country of residence.
- Consolidates assets within a structure designed to enhance tax and succession planning outcomes.
Understanding The Multi-Support Model
What Is a Multi-Support Structure?
Utmost’s ability to offer “multi-support” options enhances planning flexibility. The term “multi-support”, a phrase, coined in Europe, with no elegant English translation, refers to structuring an insurance policy using a combination of underlying investment models, including:
- Self-selection: Policyholders choose from a range of external funds, equities, bonds, and complex investments, subject to local tax and regulatory rules.
- Advisory: A qualified investment adviser recommends strategies aligned with the policyholder’s risk appetite, with final decisions made by the policyholder.
- Discretionary: An authorised asset manager manages the portfolio in line with the policyholder’s agreed investment strategy.
The Bento-Box Analogy
A multi-support structure can be visualised as a “bento-box”, where a combination of these models is compartmentalised within a single policy. This offers several advantages for private market investors:
- Combining a traditional bankable portfolio (managed on a discretionary basis) with a self-select component for complex assets.
- Engaging multiple investment professionals, such as a traditional asset manager and a private markets specialist.
- Blending “buy and hold” strategies with active management.
- Generating liquidity, for example:
- Holding a liquid portfolio alongside a private equity fund to meet capital calls.
- Using distributions from alternative investments to fund additional life cover.
- Using the policy as collateral for private venture financing.
- All within a tax-compliant structure that simplifies financial and estate planning, with transparent pricing.
Jurisdictional Flexibility and Global Support
Access to private markets via insurance varies by jurisdiction. Greater flexibility is typically available to policyholders in Asia, the Middle East, and Sweden. In contrast, policyholders in the UK or other European jurisdictions may be limited to compliant fund structures or full delegation of investment management.
With a global footprint, Utmost provides the technical expertise to guide policyholders and their advisers through these jurisdictional nuances.
Consolidated Oversight and Governance
Utmost operates under a robust regulatory framework and has deep experience in administering and valuing complex assets. Our multi-support solutions provide policyholders with a consolidated dashboard of their total holdings, supporting long-term planning and governance.
Multi-support insurance policies offer a flexible and compliant framework for integrating private market investments into long-term wealth planning. By combining different investment models within a single policy, HNW clients can tailor their portfolios to meet their specific goals, manage risk, and simplify succession planning across jurisdictions.