May LP Insights

A roundup of a few of the conversations we had with LPs this month.

Hartford Municipal Employees Retirement Fund

Since it first stated investing into private equity in 1996, the pension fund has backed 19 funds from seven managers, including Ares Management, Lexington Partners, and Vista Equity Partners. The portfolio is concentrated in North America, but its investments in Landmark’s secondaries vehicles give it exposure to a global portfolio of fund interests. A conversation with the Director of Investments revealed that North America will continue to be the focus of its portfolio. The pension fund has a target allocation of five percent to private equity but is currently over-allocated in the asset class by two percent.

 

Azure Partners

This emerging market focused fund of funds manager revealed to us that within the Asia-pacific, it feels that Cambodia, India, Indonesia, and Pakistan present the greatest opportunities going forward. Within Central Asia, it is interested in Kazakhstan and Tajikistan, and within Latin America, it is keen on Bolivia. The firm previously backed the Goodwell West Africa Microfinance Fund. The firm is currently raising its second fund of funds vehicle.

 

Equitrust AG

Equitrust is the appointed manager for Nordcapital’s private equity fund of funds. Nine fund of funds have been raised to date by Nordcapital. Equitrust told us that the fund of funds program is currently on hold, citing a fall in investor demand and also regulatory issues. The firm has backed several notable private equity managers since inception, including Apax Partners, Cinven, Kohlberg Kraviz Roberts (KKR), and Lion Capital.

 

Goergieff Capital

This asset manager primarily engages in venture capital strategies through direct and fund investments.  It will not be investing over the next 12 months however, as it is seeing little demand from its family office and HNW clients for these investments. It also stated that it is unlikely to invest in Central and Eastern Europe or Latin America.  The firm has previously backed funds by Entropy Ventures, SVB Capital, and Wellington Partners.