Carlyle Group’s wealth management business has nearly doubled in size since Harvey Schwartz became chief executive in 2023, as affluent investors increase allocations to private markets, according to a report by Bloomberg.

The unit is on track to generate about 20% of Carlyle’s overall capital flows, Shane Clifford, global head of wealth at the firm, said in an interview with Bloomberg Television. Carlyle oversees about $474bn in assets.

Clifford pointed to a structural shift in investor behaviour driven by what he described as a “silver tsunami”, referring to the transfer of wealth from Baby Boomers to spouses and children. As a result, private markets are taking up a far larger share of portfolios.

“A couple of years ago, private markets assets accounted for between 5% to 6% of allocation,” Clifford said. “Today we are seeing that go north of 10%, in the range of 10% to 30%.”

Carlyle has prioritised retail expansion under Schwartz, rolling out new funds for individuals that buy and sell secondary private equity stakes. The firm is also competing with peers such as Blackstone and Apollo for access to the roughly $12tn held in US defined-contribution retirement plans.

The push highlights how large private equity managers are reshaping their fundraising models to tap long-term wealth capital alongside traditional institutional investors.

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