A Goldman Sachs survey finds satisfaction high and millennials driving next wave of alternatives adoption
Despite a year dominated by unsettling private credit headlines, high-net-worth investors have not lost their appetite for alternative investments. A new survey from Goldman Sachs Asset Management finds that satisfaction among current alternatives owners remains exceptionally high, with the education gap (not performance) continuing to be the primary barrier to broader adoption.
The survey, which gathered responses from 1,000 US-based investors with at least $1 million in investable assets between June 29 and July 31, 2026, paints a picture of a client base that is largely unmoved by market noise and increasingly committed to private markets for the long term.
Confidence holds despite rising risk perception
Risk perception around alternatives did tick upward in 2026. According to the Goldman Sachs Asset Management survey, approximately 63 percent of respondents view alternative investments as either high risk or very high risk, compared with 56 percent the year prior.
However, that headline number obscures a crucial distinction: among investors who are already familiar with the asset class, only around half share that view, compared with nearly three-quarters of those who are unfamiliar with alternatives. The data suggests that risk perception is largely a function of unfamiliarity, not experience.
The survey found that 93 percent of current alternatives owners say they are happy with their investments, and 97 percent say their alternatives have performed in line with or better than their expectations. More than a third plan to increase their allocation over the next two years – a higher proportion than those planning to add more to equities, fixed income, or cash.
Private credit dominated negative media coverage in 2025 and into 2026, yet even those headlines failed to shift the majority of investor views. According to the survey, 56 percent of respondents aware of private credit news stories said the coverage had no impact on their outlook, and 14 percent said their view became more positive as a result.
Kristin Olson, Global Head of Alternatives for Wealth at Goldman Sachs, said investors increasingly recognize the role private markets can play in a diversified portfolio. "Understanding the role private markets can play and how they work can help investors create diversified portfolios that support their investment goals," she said.
The education gap remains the main obstacle
The survey's most actionable finding for financial advisors is the persistent education gap among non-owners.
Roughly half of all respondents said they were familiar with alternatives – a figure that has not shifted dramatically and represents a significant untapped opportunity. Among those unfamiliar with the asset class, the top concerns were volatility and risk, followed closely by a lack of understanding of how alternatives work, and concern that private markets are not as well-regulated as public ones.
Familiarity, the data shows, changes everything. Investors who are familiar with alternatives are five times more likely to say they plan to start investing in the asset class within the next 12 months, compared with those who are not. Comfort with illiquidity also improves markedly with knowledge: three-quarters of investors familiar with alternatives say they are comfortable holding illiquid investments, versus just over a third of those who are not.
This is consistent with a broader industry theme that advisors exploring how to bridge the knowledge gap on alternative investments have identified over recent years. Explaining illiquidity and lock-up provisions remains among the most challenging conversations advisors face with clients – and the Goldman data underscores that getting it right pays dividends in adoption.
Even negative experiences with redemption issues appear not to deter committed investors. Among those who had experienced some form of redemption challenge – such as caps, delays, or suspensions – nearly half said the experience made them more willing to invest in alternatives going forward, suggesting that when investors understand the mechanics of gating provisions, they interpret them as a structural protection rather than a product failure.
Millennials are redefining the alternatives conversation
Nowhere is the generational divide sharper than in attitudes toward alternative investments. The Goldman survey found that 92 percent of millennial respondents with more than $1 million in investable assets currently own alternatives, compared with 48 percent of Gen X and just 22 percent of baby boomers. Nearly half of millennial alternatives owners plan to increase their allocation over the next two years.
Millennials also engage with their advisors on alternatives at a significantly higher rate. More than two-thirds reported discussing the asset class with their advisor, versus fewer than half of Gen X investors and fewer than a quarter of boomers. On average, millennials discussed 3.8 different alternatives strategies with their advisors, compared with 2.9 for Gen X and 2.8 for boomers.
The generational difference in retirement planning attitudes is equally striking. Among employed millennials with workplace retirement plans, more than 90 percent said they would be likely to invest in alternatives if they were offered through their plan. That compares with around half of Gen X participants and fewer than half of boomers.
Kyle Kniffen, Global Head of Alternatives for Third Party Wealth at Goldman Sachs Asset Management, described this as a significant opportunity for advisors to deepen client relationships. "Millennials are highly engaged with their advisors, discuss alternatives with them and nearly all would recommend their advisor to friends or family who want to learn about the asset class," he said.
That engagement is significant in the context of the broader wealth transfer underway in the US, where trillions in assets are expected to shift to younger generations in the coming decades. According to Preqin's Private Markets in 2030 Report, published October 16, 2025, alternative assets under management are projected to reach $32 trillion globally by 2030.
What this means for advisors
The Goldman findings reinforce what Wealth Professional has tracked in the deepening advisor relationship with alternatives: familiarity and expertise drive adoption, and advisors with deep knowledge of private markets are increasingly positioned as partners of choice for clients seeking access to these asset classes.
The survey also signals that the advisor conversation around alternatives is maturing. The focus is shifting from introductory education toward portfolio-level integration – how private equity, private credit, real estate, and infrastructure fit alongside public assets to serve specific client goals.
For advisors who have yet to build robust alternatives practices, the Goldman survey makes clear that both the demand and the appetite are there. The challenge – and the opportunity – lies in meeting clients where they are and providing the education that converts interest into allocation. Advisors who want simple, flexible alternatives for a broader client base remain an underserved segment, and the race to close that gap is intensifying.
