Why Savvy Investors Are Ditching Wall Street for Private Companies

Smart, affluent investors know one thing for certain: true wealth-building opportunities often lie hidden beneath the public eye.

As of today, only 13% of U.S. companies generating over $100 million in annual revenue are publicly traded. That leaves more than 19,000 highly profitable, growth-driven businesses off-limits to everyday investors — and wide open for those willing to explore the lucrative world of private investing.

Why is this crucial? Simply put, some of the most dynamic companies in America are increasingly remaining private, and some public companies are going private.

Over the past 25 years, the number of publicly listed U.S. firms has declined by nearly 50%, reflecting a clear trend: companies prefer the agility, flexibility, and longer-term growth potential offered by remaining privately held.

Private companies often deliver accelerated growth during the years before a potential IPO, creating substantial value — but typically only for venture capitalists, private equity firms, and institutional investors with exclusive access.

By the time these companies enter public markets, much of their strongest growth and value creation is behind them.

For investors, this creates a stark dilemma. Not only is the pool of publicly traded companies shrinking, but many firms disappearing from public exchanges are small-cap businesses — historically the strongest performers in terms of growth potential.

As a result, individual investors face fewer opportunities for substantial growth and meaningful diversification within public markets.

Smart, affluent investors understand this dynamic and are increasingly leveraging opportunities in private equity and venture capital. These private investments provide access to dynamic, rapidly growing companies long before mainstream investors can participate. The rewards can be substantial, often delivering superior returns compared to traditional stocks and bonds.

Moreover, private investing allows for genuine diversification, reducing exposure to the volatility of public exchanges and offering insulation from market fluctuations driven by broader economic cycles and short-term investor sentiment.

Smart investors don’t settle for the limited menu offered by Wall Street — at Vernonville, we proactively seek out private market opportunities where innovation thrives, growth potential is strongest, and the true value of visionary leadership can be fully realized for our investors.  

In today’s investment landscape, wealth and intelligence align where opportunity is abundant and competition is scarce: the private markets. Investors who embrace this reality position themselves not only to preserve wealth but to significantly multiply it, outperforming the limitations of traditional public investing.