- Trying to reach a wider investor base
- Other firms also could join the market
- Trading open only to accredited investors
In what could be a first in the United States, smaller investors will be able to pick up pieces of these exclusive vehicles for as little as tens of thousands of dollars, the Journal report said, citing people familiar with the matter.
Private equity firms usually buy companies by raising funds from major institutions and wealthy individuals. The new structure will allow existing investors to exit their investments earlier than usual and help the firms reach a wider investor base.
KKR is likely to file for regulatory approval allowing trading of fractional stakes of its funds as soon as this month, according to one of the sources quoted in the report.
The report added that other private equity firms are also in talks to sign up for the Nasdaq market and could join before it officially opens.
The new market would be open only to accredited investors, or individuals with $1 million in wealth, not including their primary homes, the Journal report said.
Kristi Huller, a KKR spokeswoman, and Nasdaq spokesman Joseph Christinat declined to comment on the report.
Aman Shah is a correspondent for Reuters in Bangalore.