It was another strong year of fundraising for the private equity industry, with average fund sizes at their highest level since 2010. Although aggregate capital gathered continued to fall, suggesting that a return to pre-crisis levels is not yet on the cards, a healthy $384.17 billion was raised from the close of 623 funds in 2015.
Large fund closes characterised the market throughout 2015. Most notably, Blackstone achieved one of the highest post-crisis fund closes for Blackstone Capital Partners VII when the firm collected $18 billion in December. At $2 billion above the initial target set for the vehicle, investors clearly remain keen to commit to large funds raised by established managers.
Vehicles collecting capital above targets is a trend present throughout the industry. In 2015, $43.84 billion more than total capital targeted was raised from the close of all funds.
Similarly, a $94.17 billion increase on total capital targeted by funds in market at 1 January 2016, compared with the same point in 2015 offers a positive outlook for the industry.
In this report, the ‘Region in Focus’ section looks at the rise of Africa-focused fundraising, and in particular the increasing levels of foreign capital invested into the continent as political stability returns to the region.
Our LP analysis section highlights the continued investor interest in the asset class and the increased appetite of family offices and charitable foundations for private equity investments. We will also be speaking to Nils Rhode, Managing Director and Co-Head of Investment Management at Adveq, about the European private equity market and the firm’s approach to portfolio management.
For more information on any data that makes up the report please contact Daniel Humphrey Rodriguez.