A confluence of dynamics is driving secondaries activity in the asset class – providing dealflow and attracting more buyside interest.
There’s an interesting dynamic playing out in the secondaries market that suggests LPs’ thinking about how to manage their portfolios is evolving.
Early estimates for first half activity show secondaries transaction volume is off to a slower than anticipated start this year; yet, the market is expected to pick up some of the shortfall.
The asset class needs to modernise and confront the tension between assets’ long lives and different investors’ liquidity needs.
As buyout shop Astorg makes moves to fill its secondaries bench in its effort to back continuation funds, the key will be winning over firms that may view it as a competitor.
Tikehau Capital subsidiary Opale Capital this week said it would offer AlpInvest, Goldman Sachs and HarbourVest's secondaries products to non-institutional investors.
The portion of LPs looking to back secondaries funds is only increasing as investors seek ways to turn negatives into positives in the current crunch.
Generative artificial intelligence and machine learning could be used in a ground-breaking way in the secondaries market, though there are a few hurdles to overcome first.
GP-led deals involving healthcare assets can provide an intoxicating mix of strong downside protection and meaningful upside potential.
Benjamin Revillon's firm's X-shares have been a social responsibility model to follow, while its pre-pandemic headquarter relocation to the south of France was enviable.