🎥 Blue Owl's Marc Lipschultz - skate to where the puck is going

Welcome back to the Alt Goes Mainstream podcast.We had a chance to sit down with Blue Owl Co-CEO Marc Lipschultz recently at their Nest Network Summit for RIAs and private banks in Laguna Beach.It was a perfect setting to discuss Blue Owl’s incredible growth, which has been in part due to its unique and focused partnership with the wealth channel.Blue Owl is one of the industry’s largest alternative asset managers and has charted an impressive growth path in the nine years since its founding. Blue Owl has scaled to over $265B of AUM and has proven to be one of the top firms at raising capital from the wealth channel.Marc is a private markets industry veteran who has been instrumental in building not just one, but two of the industry’s biggest players.He spent over two decades at KKR, serving on the firm’s Management Committee, and as the Global Head of Energy and Infrastructure after joining the firm as one of the first 20 employees. He then partnered with Blackstone GSO Founder Doug Ostrover and Goldman Sachs Partner and Co-Head of Leveraged Finance Craig Packer to co-found Owl Rock Capital Partners, the predecessor firm to Blue Owl’s Credit platform. Owl Rock combined with Dyal Capital Partners to become the publicly traded entity Blue Owl in May 2021 and has since grown to over $265B in AUM and $2.2B in revenue.Owl Rock and now, Blue Owl’s, flight is emblematic of the evolution of alternative asset managers. Marc and I had a fascinating conversation. We discussed: * How Blue Owl’s growth highlights trends that have propelled alternative asset management into the mainstream.* Why scale matters.* Their focus on private credit, data centers, and digitalization.* Their focus on private wealth. * The power of permanent capital.Thanks Marc for coming on the show to share your wisdom and expertise in private markets.You can also see a recent Q&A with Marc on AGM here.A number of the themes discussed by Marc in the podcast and Q&A appear in Blue Owl’s 2025 Market Outlook. You can read Blue Owl’s 2025 Market Outlooks across Credit, Real Estate, and GP Strategic Capital, where their teams outline themes that are top of mind and how it will impact their respective sectors.Clip #1: How Blue Owl’s business was designed with wealth in mind from the very start: equal access to institutional opportunities.Clip #2: Blue Owl’s focus on partnership with clients and how client needs might lead to Credit, Real Assets, and GP Stakes.Clip #3: Why Blue Owl acquired IPI and how it fits into the Blue Owl family.Show Notes00:00 Welcome to the Alt Goes Mainstream Podcast00:57 Blue Owl's Growth and Success01:10 Marc's Background and Career02:23 The Setting: Laguna Beach02:30 Focus on Wealth Management02:47 Marc's Journey in Private Markets03:28 Early Days at KKR05:22 Building Owl Rock and Blue Owl05:47 Concept of Growth in Private Markets06:41 The Role of Culture in Success08:35 Operationalizing Culture10:12 Focus on Wealth Channel10:33 Democratization of Alts12:02 Building a Firm for Individual Investors16:43 Unified Wealth Platform19:06 Balancing One-Stop Shop and Customization24:22 Brand and Strategy29:56 Scale in Private Markets33:13 Meeting the Needs of Large Borrowers33:21 Understanding Market Spreads33:47 High-End Market Dynamics34:16 Cost of Capital and Borrowing Limits35:14 Predictability, Privacy, and Partnership36:16 Trends in Private Credit36:29 The One-Stop Shop Concept36:57 Risk Management in Credit37:48 Maintaining Low Loss Rates38:44 Impact of Scale on Credit Quality40:27 Private vs. Public Financing40:54 Growth in Asset-Backed Financing41:16 Strategic Business Orientation42:34 Skating to Where the Puck is Going47:58 Permanent Capital Advantage48:39 Flexibility in Loan Terms51:26 Building a Purpose-Built Firm54:15 The Role of Culture in Business and Sports55:34 Lessons from the Washington Commanders and Tampa Bay Lightning55:41 Leadership and Performance56:37 Good Fortune and Success57:00 Commitment to Culture and Outcome57:26 Powerful Culture in Sports58:06 People: The Core of Success58:59 Wrapping Up the ConversationEditing and post-production work for this episode was provided by The Podcast Consultant. Join over 9,900 thought leaders from top private markets firms and wealth management like Blackstone, Apollo, Ares, KKR, Carlyle, Blue Owl, CVC, TPG, Brookfield Oaktree, EQT, Vista, Goldman Sachs, J.P. Morgan, BlackRock, Fidelity, iCapital, Franklin Templeton, Nuveen, Hg, Permira, Hightower, Focus Financial, Cerity Partners, and more. This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit altgoesmainstream.substack.com