Private equity is being villainized in the retirement debate - even as it provides diversification and outperforms public markets long-term | Fortune

"A new report from my organization, the American Investment Council, found that over the long term, private equity as an asset class continually and consistently outperforms the broader stock market and other popular investment categories. This is exactly why investors should be offered the option to invest in private markets. It's also why, beyond wealthy investors, public servants - including millions of teachers, police officers, and firefighters - have long relied on these investments to keep their pension plans fully funded."

"We analyzed the rates of returns across all of private equity, then compared it to returns from other popular asset classes. Our biggest finding is that over 10 years, private equity beats every other major asset class. For instance, private equity's returns beat the S&P 500 by 3%. That margin makes a huge difference for workers and families over the long haul, giving middle-class investors the higher compounding returns that can deliver their retirement and savings goals."

America faces a retirement crisis: 70% of retirees worry about insufficient savings and 30% are considering returning to work because savings could run out. An executive order expands access to private markets through 401(k)s, allowing broader investor access to an asset class used by public pension funds and wealthy families. A report from the American Investment Council found that private equity consistently outperforms the broader stock market and other asset classes over the long term. Over ten years private equity beat the S&P 500 by 3%, a margin that increases compounding returns and can materially affect retirement and savings outcomes for middle-class investors.

Read at Fortune