Fundraising soars during summer

There were nearly 50 secondaries funds being raised as of October, targeting a total amount of about $40bn.

It was a busy summer for secondaries and the fundraising market was no exception.

The dollar amount of secondaries funds being raised grew by nearly 40 percent between June and October to $37.07 billion, according to data provided by PEI Media’s Research and Analytics.

That figure doesn’t include HarbourVest Partners’s Dover Street IX, whose target is undisclosed but will likely be more than its latest $3.6 billion eighth fund, as previously reported by Secondaries Investor.

Several large new funds came to market over the summer. Blackstone’s Strategic Partners, which is already raising a dedicated real estate secondaries fund, launched Strategic Partners Fund VII, targeting $5.5 billion. Hamilton Lane began raising Hamilton Lane Secondary Fund IV, targeting $1.2 billion, and LGT Capital Partners launched Crown Global Secondaries IV, looking to raise $2.5 billion.

Some large funds that are still in the market  include Ardian Secondary Fund VII, which is targeting $9 billion; Coller International Partners VII, targeting $5.5 billion; Partners Group Secondary 2015, targeting €2.5 billion and Pantheon Global Secondary Fund V, targeting $2.5 billion, according to PEI data.

Several secondaries funds are aiming to hold final closings either at the end of the year or in early 2016.

“It’s still an attractive fundraising environment,” said one New York-based advisor.

“There’s so much money in the market place,” said another advisor, adding that heavy supply is helping keep prices up.