Assessing a quick-flip continuation vehicle on the asset’s hold period alone is an imperfect metric.
While lenders and buyers have both grown more accepting of leverage use in continuation funds, divisions remain over when and how these tools should be used.
The RMB secondaries market has concluded its first full cycle. While there are opportunities to be had, there are risks to be overcome to ensure sought-after returns, writes Nebula Advisors’ Stanley Geng.
The secondaries market is increasingly used to reconcile competing investor objectives with a broadening base of investors flocking to the asset class. These developments are permanent.
Introducing Secondaries Investor’s new and improved Advisory and Law Firm surveys – a more granular way of tracking an increasingly sophisticated marketplace.
The firm’s focus on smaller-size secondaries has helped differentiate its latest secondaries fund – which recently closed on $677m ahead of its target – from peers, head of secondaries Patrick Knechtli told Secondaries Investor.
There’s reasons on all sides to settle on market practice when it comes to continuation vehicle guidance – lest regulators decide it for you.
The lack of standardisation when it comes to benchmarking secondaries raises questions about how the strategy should be measured and whether traditional PE benchmarks are a good fit.
The sub-asset class has been described as one of the most undercapitalised private market strategies – while estimates for future growth are high, there are structural elements to consider.
Secondaries Investor’s Next Gen Leaders list 2026 will provide clues about the future of the market’s growth.