J.P. Morgan Asset Management Launches Growth Equity Platform as Part of J.P. Morgan Private Capital

Rhea-AI Summary

J.P. Morgan Asset Management has launched J.P. Morgan Private Capital, a new growth equity investment arm complemented by an existing private debt business. The platform aims to provide customized solutions for early and growth-stage companies while focusing on institutional and high-net-worth clients. Led by Brian Carlin, the group includes notable hires like Christopher Dawe from Goldman Sachs to lead technology and consumer investments, and Osei Van Horne for sustainable growth equity. The unit is part of a $168 billion alternatives franchise, aiming to meet rising client demand for flexible capital solutions.

Positive

• Launch of J.P. Morgan Private Capital to cater to early and growth-stage companies.
• Experienced leadership team with backgrounds from Goldman Sachs and Wells Fargo.
• Focus on high-demand asset classes: growth equity and private debt.
• Investment platform part of a robust $168 billion alternatives business.

Negative

• None.

NEW YORK, June 7, 2021 /PRNewswire/ -- J.P. Morgan Asset Management today announced the launch of J.P. Morgan Private Capital, which includes a new growth equity investment arm and an existing private debt business, committed to providing customized solutions for early and growth stage companies across the capital structure. The group will be focused on institutional and high-net-worth clients and will also have the ability to invest the firm's capital alongside investors.

J.P. Morgan Private Capital will be led by Brian Carlin, previously CEO of Wealth Management Solutions at J.P. Morgan, with Rick Smith, former Head of Private Investments at JPMorgan Chase, serving as Chairman of the group, and Meg McClellan, serving as the Head of Private Debt.  

The firm is also pleased to announce the hiring of Christopher Dawe from Goldman Sachs as Managing Partner to lead the technology and consumer growth equity business. During his time at Goldman Sachs, Mr. Dawe spent 15 years investing in private companies and co-headed the Venture Capital and Growth Equity business within Goldman Sachs Investment Partners. His investments have included Spotify, Plaid, Ring, Pinterest, Compass, Uala and Built Technologies, among other companies. 

In addition, Osei Van Horne joins J.P. Morgan Private Capital as Managing Partner to lead investments across industries with an initial focus on climate action and inclusive economic growth. Mr. Van Horne joins from Wells Fargo where he co-founded the technology growth equity practice. His previous investments have included Flexport, Notarize, BMC Software and Industrious, among other companies. In 2020 and 2019, Mr. Van Horne was named as one of the top 50 global principal investors by Global Corporate Venturing. (Full biographies included below.)

The investment platform will sit within J.P. Morgan Asset Management's $168 billion Global Alternatives franchise, reporting to Anton Pil, Global Head of Alternatives. The platform includes a robust Private Debt business, led by Meg McClellan, which currently manages $15 billion in assets across corporate and asset-based lending strategies. In addition, Ms. McClellan will lead J.P. Morgan Private Capital's efforts to build out a new direct lending business focusing initially on middle-market corporate direct lending across North America.

As companies elect to remain private longer, many seek partners who can add significant value in addition to flexible capital solutions, and J.P. Morgan Private Capital will be well positioned as a preferred global partner for these firms. This new group will draw on the broader resources of J.P. Morgan to drive value in portfolio companies and will harness the firm's unique access to technology companies to inform investment ideas and gain insights into emerging and financial technologies.

The new unit will tap into the continued growth of private markets and significant pre-IPO value creation opportunities across a range of asset classes and sectors, including consumer, technology and sustainable growth equity investing, as well as middle-market direct lending strategies. 

"J.P. Morgan Private Capital will harness JPMorgan Chase's unparalleled scale, network and resources to deliver a best-in-class growth equity and private debt investment platform," said Mary Erdoes, Chief Executive Officer, J.P. Morgan Asset & Wealth Management. "By combining our debt and equity capabilities, we are ideally positioned to help companies and clients from around the globe access liquidity and investment opportunities across capital markets."

"Growth equity and private debt are among the fastest-growing asset classes in the alternatives industry, with strong demand from both individual and institutional investors to look beyond public markets," said Brian Carlin, Chief Executive Officer, J.P. Morgan Private Capital. "We are committed to establishing long-term relationships with innovative private companies, and J.P. Morgan Private Capital is focused on creating discernable value for these companies across their lifecycle."

"The launch of J.P. Morgan Private Capital reflects the increasing client demand for alternative asset classes and our focus on providing clients with new opportunities to enhance portfolio returns through private markets," said Anton Pil, Head of Global Alternatives at J.P. Morgan Asset Management. "We look forward to continuing to expand our capabilities across the Global Alternatives franchise in the coming months to meet client needs and seize market opportunities."

J.P. Morgan Private Capital – Biographies

• Richard Smith, Chairman, J.P. Morgan Private Capital – Prior to this role, Mr. Smith was Head of Private Investments at JPMorgan Chase, overseeing the firm's multi-billion portfolio of balance sheet investments in companies including 70 new strategic investments made in the last six years. Mr. Smith has 42 years of private investment experience and was a partner for 12 years at One Equity Partners, after 21 years of independent venture growth investing, most recently at Allegra Partners. He began his investing career at Citicorp Venture Capital, Ltd in 1979. Mr. Smith has been Chairman of six companies and a director of an additional 37 public and private companies across his career.
  
  
• Brian Carlin, Chief Executive Officer, J.P. Morgan Private Capital – Mr. Carlin has been with J.P. Morgan for more than two decades, previously as CEO of Wealth Management Solutions. As part of his remit, Mr. Carlin managed the Global Alternatives Investment Team, overseeing more than $100 billion of client capital. Prior to these roles, Mr. Carlin was Asset & Wealth Management's CFO and Global Head of Investments for Global Wealth Management's more than $1.2 trillion in client assets under supervision.
  
  
• Christopher Dawe, Managing Partner and Global Head of Growth Equity, J.P. Morgan Private Capital – Mr. Dawe joins from Goldman Sachs, where he was Co-Head of the Goldman Sachs Investment Partners Venture Capital and Growth Equity business.  Mr. Dawe spent the past 15 years focusing on Series B through pre-IPO investments across the consumer internet, enterprise software and financial technology sectors and has invested more than $3 billion in venture capital and growth equity transactions. His prior investments have included Spotify, Plaid, Ring, Pinterest, Compass, Uala and Built Technologies, among others. Prior to joining Goldman Sachs Investment Partners, Mr. Dawe worked within Goldman Sachs Principal Strategies, a proprietary investing arm within the firm, as well as the Investment Banking Division.
  
  
• Osei Van Horne, Managing Partner and Portfolio Manager, Global Head of Sustainable Growth Equity Investing, J.P. Morgan Private Capital – Mr. Van Horne has approximately 20 years of principal investing, operating and corporate finance experience. Prior to joining J.P. Morgan, Mr. Van Horne was a Managing Director and co-founder of the technology growth equity practice at Wells Fargo. Previously, Mr. Van Horne was a private equity investor with Goldman Sachs' Merchant Banking Division. In 2020 and 2019, he was named as one of the top 50 global principal investors by Global Corporate Venturing. His prior investments have included Flexport, Notarize, BMC Software, and Industrious, among other companies. In his new role, Mr. Van Horne will lead a number of thematic investing initiatives utilizing environmental, social and governance (ESG) frameworks, including Project Black, an initiative from J.P. Morgan Asset Management with Ariel Investments aimed at helping close the racial wealth gap by investing directly into minority-owned middle-market businesses.
  
  
• Meg McClellan, Head of Private Debt, J.P. Morgan Private Capital – Ms. McClellan was appointed as Head of Private Debt in 2019. Prior to leading this growth initiative, she served as J.P. Morgan Asset Management CFO, responsible for the financial and strategic leadership of J.P. Morgan's $2.5 trillion Asset Management unit. Before serving as CFO, Meg spent the majority of her career in fixed income and derivatives trading, portfolio management and investments, with experience on both the buy side and the sell side, in New York, Chicago, and London.
  
  
• Patrick McGoldrick, Partner, J.P. Morgan Private Capital – Prior to joining J.P. Morgan Private Capital, Mr. McGoldrick served as the Global Head of a private investment division within the Private Bank, with a particular focus on direct and co-investment opportunities in private companies. Previous to this, Mr. McGoldrick was a member of the Investment Bank on the Private Capital Markets team in San Francisco, where he was involved in all phases of private finance including origination, structuring, pricing and distribution with an emphasis on growth equity and PIPE financings across a wide range of industries, raising in excess of $10 billion in capital. Mr. McGoldrick has partnered with companies including Coupang, Peloton, Sweetgreen and Tempus.

About J.P. Morgan Global Alternatives

J.P. Morgan Global Alternatives is the alternative investment arm of J.P. Morgan Asset Management. With more than 50 years as an alternatives investment manager, $168 billion in assets under management and more than 600 professionals (as of March 31, 2021), we offer strategies across the alternative investment spectrum including real estate, private equity and credit, hedge funds, infrastructure, transportation and liquid alternatives. Operating from offices throughout the Americas, Europe and Asia Pacific, our 15 independent alternative investment engines combine specialist knowledge and singular focus with the global reach, vast resources and powerful infrastructure of J.P. Morgan to help meet each client's specific objectives.

About J.P. Morgan Asset Management

J.P. Morgan Asset Management, with assets under management of USD 2.5 trillion (as of 31 March 2021), is a global leader in investment management. J.P. Morgan Asset Management's clients include institutions, retail investors and high net worth individuals in every major market throughout the world. J.P. Morgan Asset Management offers global investment management in equities, fixed income, real estate, hedge funds, private equity and liquidity. For more information: www.jpmorganassetmanagement.com. 

JPMorgan Chase & Co. (NYSE: JPM) is a leading global financial services firm with assets of $3.7 trillion and operations worldwide. The Firm is a leader in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing, and asset management. A component of the Dow Jones Industrial Average, JPMorgan Chase & Co. serves millions of customers in the United States and many of the world's most prominent corporate, institutional and government clients under its J.P. Morgan and Chase brands. Information about JPMorgan Chase & Co. is available at www.jpmorganchase.com.

J.P. Morgan Asset Management is the marketing name for the asset management businesses of JPMorgan Chase & Co., and its affiliates worldwide.

 

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SOURCE J.P. Morgan Asset Management

FAQ

What is J.P. Morgan Private Capital?

J.P. Morgan Private Capital is a new growth equity investment arm launched by J.P. Morgan Asset Management, focused on providing customized solutions for early and growth-stage companies.

Who leads J.P. Morgan Private Capital?

J.P. Morgan Private Capital is led by Brian Carlin, formerly CEO of Wealth Management Solutions at J.P. Morgan.

What are the main focuses of J.P. Morgan Private Capital?

The main focuses are growth equity investments and an existing private debt business targeting institutional and high-net-worth clients.

What assets does J.P. Morgan Asset Management manage?

J.P. Morgan Asset Management manages USD 2.5 trillion in assets as of March 31, 2021.

What is the expected benefit of the new private capital platform?

The platform aims to establish long-term relationships with innovative private companies, providing significant value alongside flexible capital solutions.