Episode 53: Producing Investment Income through GP Stake Investing

In this episode of the InsuranceAUM.com Podcast, host Stewart Foley, CFA, dives into the unique world of GP stake investing with Jon Little, founder and Managing Partner of Alderwood Capital. GP stake investing, a specialized strategy in asset management, is projected to grow into a $500 billion industry and offers a compelling mix of high-income potential and diversified opportunities, particularly for insurance investors.

Jon draws on decades of experience to discuss how his team identifies opportunities in mid-sized, specialist boutiques, focusing on strategies such as succession capital, acceleration capital, and even “liberation capital” for unlocking hidden value in underappreciated firms. The conversation explores the high-yield, cash-generating potential of this strategy, the importance of partnering with the right management teams, and the role these investments can play in insurance portfolios seeking income and diversification.