BlackRock raises fifth fund of funds

The asset management giant received a $20m commitment from a UK pension fund for its fifth private equity fund of funds.

BlackRock’s fifth private equity fund of funds is back in the market fundraising, and has closed on at least $170 million, according to public documents from the Surrey County Council.
BlackRock’s Diversified Private Equity Programme V was expected to have another $230 million close in May, the UK pension fund said in meeting documents. Surrey County committed $20 million to the fund last month.
It’s not clear if the fund has closed on the additional $230 million and BlackRock declined to comment. 

The firm’s fifth fund of funds mirrors the prior four in its strategy to mitigate risk by constructing a more diversified portfolio of private equity funds and direct co-investments, the Surrey County documents read. The funds do not focus on a specific sector, according to Private Equity International’s Research and Analytics Division.

DivPEP V will invest 50 percent to 70 percent of its funds in the US, 20 percent to 50 percent in Europe and the remainder throughout the world, as stated in the documents.

BlackRock’s prior fund of funds, a 2009 vintage, was targeting $1 billion, according to PEI’s data. It is unclear whether the fund reached its target and when it closed.
The firm’s third fund, a 2005 vintage, raised $1.05 billion and is fully invested, PEI’s research disclosed. BlackRock launched its debut DivPEP programme in 2000.