Apollo Global Management has partnered with Schroders to develop blended public and private markets funds for wealth and pension clients.
The $908bn (£667.6bn) global alternatives manager will work with the $1tn London-based asset manager to offer new investment products to the UK wealth market, combining public and private fixed income exposure. The first product is expected to launch later this year.
In the US, the two firms have also collaborated on a collective investment trust for the defined contribution pensions market. The product, which blends exposure across Schroders Capital, the group’s private markets arm, and Apollo, is due to launch in the second quarter of 2026.
Read more: Top alts managers partner with OneDigital for 401(k) access
The partnership brings together Schroders’ heritage in public equities and fixed income with Apollo’s expertise in private markets.
“Schroders is a storied institution with deep investment expertise and a reputation for delivering excellent client outcomes,” said Marc Rowan, chief executive of Apollo Global Management. “Our complementary capabilities can help address a large and growing societal need for reliable income solutions. Together, we look forward to developing the next generation of hybrid products.”
Read more: Blackstone partners with Empower in 401(k) push
As part of the partnership, the London-based manager will have the opportunity to allocate to Apollo from certain existing client portfolios that compliment Schroders Capital’s offerings.
The tie-up comes as alternative asset managers are increasingly pushing into the wealth and pensions market, having traditionally focused on institutional investors. This has prompted a wave of partnerships with firms that have stronger retail distribution.
“This partnership is highly complementary, combining the strengths of Schroders and Apollo to deliver better outcomes for our clients,” said Richard Oldfield, chief executive of Schroders. “It has the potential to offer something truly different, innovative investment solutions designed to deliver robust and resilient returns across the wealth and retirement markets in the UK and the US.”
Read more: Scottish Widows rolls out new LTAFs
