American Express spinout closes $225m FoF

Venture Investment Associates has raised $225 million for its sixth fund of funds, bringing its assets under management to more than $1 billion.

American Express spin-out Venture Investment Associates has closed its sixth fund of funds on $225 million (€153 million).

Venture Investment Associates VI will continue the investment strategy of its predecessors, managing director Jason Andris told PEO. The fund will invest in between 20 and 25 funds, two-thirds of which will be early stage venture funds and one-third of which will be growth equity and buyout funds.

Eighty-five percent of the capital from the new fund will be invested with managers with whom VIA already has a relationship. The firm will invest the remaining capital with new fund managers that are “elite in their sectors”, Andris said.

VIA closed its previous fund of funds on $182.5 million in March of 2002. Andris said VIA selects a hard cap for each fund of fund based on how much capital the firm’s existing fund managers can accommodate. The current investment climate allowed VIA to raise a bigger fund of funds this time around, and enabled the firm to add a few new limited partners, largely non-profit investors.

Stathis Andris founded VIA in 1993 to acquire the private equity portfolio of American Express Company. Andris had previously been an employee of American Express since 1981. He later added two more managing directors to VIA: Jason Andris and former AT&T Investment Management vice president Eliot Powell.

The firm currently manages $1 billion across six funds of funds.