Portfolio Advisors returns with fourth secondaries fund – exclusive

Details of Portfolio Advisors Secondary Fund IV including its fee structure were revealed in documents seen by Secondaries Investor.

Portfolio Advisors has returned to market with its fourth dedicated secondaries fund, almost two years after closing its predecessor.

The Darien, Connecticut-headquartered firm is seeking $1.5 billion for Portfolio Advisors Secondary Fund IV, according to an investor document seen by Secondaries Investor. The document notes the fund is expected to launch in the fourth quarter of this year.

Portfolio Advisors’ previous vehicle collected $1.5 billion in for PASF III, holding the final close on its hard-cap in January last year and beating its $1 billion target, according to Secondaries Investor data.

PASF IV has a 10 percent preferred return and charges 10 percent carried interest on net gains, payable only after full return of invested capital, the document noted. The GP commitment will be 3 percent of total commitments.

Commitments to the fund may be made through the fifth anniversary of the fund’s final closing date, and the vehicle offers co-investment opportunities to US limited partners.

LPs in PASF III include El Paso City Employees’ Pension FundHouston Firefighters’ Relief and Retirement FundPennsylvania Public School Employees’ Retirement System and University of West Florida Foundation, Secondaries Investor data show.

A spokesman for Portfolio Advisors declined to comment.