Post Creator: Rosie Bartley

Flywheeling High: Creating a Niche in Private Markets Investment with Scott Hart, StepStone Group

By ICR | Podcast

Private markets investment is a giant field, and finding a unique place in the business isn’t easy. But when you pay close attention to timing, the needs and wants of your clients, and building a solid team, you can make a definitive mark in the industry. 

Joining us to talk about how that’s done is Scott Hart, CEO of StepStone Group, a private markets investment firm. Since its founding in 2006, StepStone’s seen steady growth, and that’s been fuelled by their customized investment solutions and advisory and data services. With 23 offices around the world and $137 billion of assets under management, they just keep growing.

Scott joined StepStone in 2007, and he’s held a number of responsibilities across the organization, managing important client relationships, serving as co-head of private equity co-investments, and eventually becoming co-CEO in 2019, and CEO in January 2022.

Scott is also a member of the global executive committee, private equity executive committee, private equity investment committee, and private equity portfolio and risk management committees.

Scott and Tom talked about the factors around Stepstone’s huge growth since Scott started in 2007, and the flywheel effect that’s helped get it there. We also took a dive into how diversification helped them carve out a niche built around custom products for a global client base.

 Highlights:

  • Scott tells us about StepStone’s mission and how they carry it out (3:01)
  • Some of the important trends StepStone reacted to when they began 15 years ago (5:43)
  • Scott outlines StepStone’s strong position within the GP and LP ecosystem (7:48)
  • StepStone’s diversification strategies, global approach, and visibility (10:31)
  • What they have offered retail investors versus industrial investors (13:50)
  • Scott discusses StepStone’s acquisition of Greenspring Associates (15:09)
  • StepStone’s company culture and how they attracted the right people (16:48)
  • The keys to international expansion and managing a global firm (19:37)
  • The resiliency of the private markets after a decade-long bull run (22:25)
  • Scott shares projections for StepStone’s long-term organic growth (25:22)

Links:

ICR Twitter

ICR LinkedIn

ICR Website

Scott Hart LinkedIn

Scott Hart Bio

StepStone Website

StepStone LinkedIn

Feedback:

If you have questions about the show or have a topic in mind you’d like discussed in future episodes, email our producer, elizabeth@lowerstreet.co.