The Role of Private Funds

Alternative Asset Managers Support Everyday Americans

Private Credit & Hedge Funds Invest in Opportunity

Alternative investments, such as private credit and hedge funds, are key parts of the alternative asset management industry—an important part of the global financial system. These firms allocate capital across public and private markets to help drive economic growth, support job creation, and stimulate innovation across the country.

Institutional investors—such as pensions, endowments, and foundations—invest in private credit and hedge funds to manage risk, diversify portfolios, and deliver strong, stable returns over time. These investments generate returns that support retirement, education, and charitable causes benefiting millions of Americans.

Hedge Funds

Hedge funds enable institutional investors to navigate changing markets and meet long-term financial commitments. Their diverse strategies are designed to generate reliable returns throughout the economic cycle, benefiting retirees, students, and communities nationwide.

Beyond portfolio performance, hedge funds also promote strong and vibrant public and private capital markets by investing across asset classes, improving market function, and contributing to liquidity.

Private Credit Funds

Private credit funds provide long-term financing to businesses of all sizes across the country. These funds play a critical role in today’s economy, offering flexible capital to businesses that helps them expand, innovate, and hire.

For institutional investors, private credit offers stable, risk-adjusted returns. These investments help deliver for retirees, students, and communities across the country.
Hedge funds provide retirement security for more than

26 MILLION

retired teachers, firefighters, police officers, and other Americans.
Hedge fund investments support the mission-driven work of more than

1,500

nonprofits and foundations in local communities across the country.
Hedge funds support thousands of students at more than

600

colleges and universities by growing endowments that fund scholarships, programs, and research.
Private credit funds provide over

$1 TRILLION

in private credit to American businesses of all sizes, supporting economic growth in all fifty states.

Find out more about who benefits from hedge fund investment

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Retirement Plans

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Colleges & Universities

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Foundations & Nonprofits

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Small and Mid-Size Businesses

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See how hedge funds support retirees, students, and missions that change the lives of individuals and communities across the country.

Related Resources

Find out more about who benefits from hedge fund investment

Illustration of a smiling firefighter standing in front of a fire station

Retirement Plans

Illustration close up of two smiling students standing in front of a collegiate building

Colleges & Universities

Illustration of the outside of a nonprofit's office building

Foundations & Nonprofits

image (1)

Small and Mid-Size Businesses