Robert McGrath, a co-founder of secondaries advisory firm Setter Capital, has left the firm and launched a secondaries business focusing on funds of funds, according to sister title Secondaries Investor.
McGrath has co-founded Toronto-based Optimize Capital Partners, according to a source familiar with the matter. The business helps institutional investors achieve target allocations to private markets through purchases of stakes in funds of funds, according to its website.
“As diversified high quality pools of assets, funds of funds are the perfect building blocks for private equity programmes,” the website notes. “And with return targets commensurate with the lower risk nature of fund of funds investments, OCP can offer sellers attractive prices.”
OCP seeks stakes in funds of funds which have between $10 million to $200 million-plus or more in net asset value, and are between 2004- to 2012-vintage across generalist, large buyout, distress, energy and venture capital strategies.
It is not clear whether OCP is part of Optimize Wealth Management.
McGrath, who co-founded Setter in 2006 with his brother Peter, declined to comment.