First-time private investment strategies are garnering more attention and commitments from institutional investors. Increased capital available for private investments (dry powder), coupled with intense competition to access established managers, have led to a greater interest in new funds. 

In 2016, nearly 51% of limited partners (LPs) were willing to invest in or were considering first-time funds, a 12- percentage-point increase from 2013, according to a recent Preqin report. Underweight allocations to private capital asset classes and increased difficulty in accessing established funds were reasons cited by LPs for their consideration of first-time funds, according to the report. Further, dry powder available for private strategies has increased by 19% to $1.47 trillion over the last two years. In terms of supply, 323 first-time funds closed in 2012 compared with 327 in 2015, the report says. 

Christian Kallen“We are in a pretty hot fundraising market right....

1 | 2 | 3 »
The content you are trying to view is restricted for Money Management Intelligence
subscribers.

To continue reading, please log in using the login box in the upper right corner of this page,
 subscribe or take a free trial.

Subscribe

Start your Money Management Intelligence service today for full access

Subscribe

Free Trial

Not ready to subscribe?

Register today for a free trial.

Free Trial