KKR co-CEO Joe Bae has publicly defended the role of private equity in pension portfolios, arguing that the asset class remains a cornerstone for long-term savings despite a deepening crisis of confidence among investors.
The comments come as the industry faces mounting pressure from accelerating redemptions and a severe bottleneck in exiting portfolio companies.
According to a report by Neue Zürcher Zeitung, Bae emphasized that large institutional clients have not yet abandoned their positions or their relationships with major firms like Partners Group.
He framed the current market turbulence as a temporary setback rather than a structural failure, urging investors to maintain their exposure to private markets.
The defense arrives at a critical juncture for the asset management sector.
Investor confidence in private credit is fracturing as redemptions accelerate, marking a sharp reversal for an asset class that has long been touted for its steady, illiquid returns.