Provding this access, coupled with the overall positive performance of private funds, has yielded significant interest from high-net-worth investors and their advisors, he said.

“In a period of time when there is growing acceptance that the private markets are outperforming the public markets, you’re going to start to see more of those high-net-worth investors look to access the private markets to try to capitalize on some of those returns,” he said.

Along with lower minimums, the evergreen and feeder funds also minimize the administrative and tax-related requirements private funds have. Brennan said that providing these options for investors has made it easier for them to access the private markets.

The second obstacle that Hamilton Lane had to address was a lack of education about the private markets. To help advisors and clients understand them better, the firm conducted educationprograms  so advisors could help their clients get acclimated to this space.

“Our focus has been educating the advisors on all of the intricacies of the private market,” Brennan said.

Once the advisors are comfortable with the asset class, then the firm helps them advisors understand the different ways they can access it, Brennan said.

Another major need of the high-net-worth investor that is not being addressed is their desire to transfer their wealth to the next generation. It is estimated that $50 trillion will transfer from one generation to the next within 10 years and advisors need to be ready for that, consultants say.

Only 13% of the next generation will work with the same advisor as their parents have, according to the Spectrum Wealth Survey. That means advisors need to start working within multiple generations to ensure continuing relations with client families, Kim said.

Advisors must begin to think as the next generation and incorporate those tools and resources that the younger generation can relate to, according to Kim.

“They want to engage with the advisors using digital tools and really slick technology because that is what they use and it is what they use to communicate,” he said.