EN  |  FR

Feeder funds: Private Corner Secondary Fund 2022 raises €130 million

Private Equity: the management company has announced the closing of its feeder investment fund exposed to Committed Advisors' flagship secondary strategy. The Private Corner Secondary Fund 2022 achieved final fundraising of 130 million euros, more than triple the initial target size envisaged when the investment fund was launched in 2022.

Interested in investing in secondary private equity? For information on our unlisted investment offer, please contact us

A record closing

The Private Corner management company has closed the feeder fund Private Corner Secondary Fund 2022, which tripled its initial fundraising target, raising a final total of 130 million euros. This private equity fund is exposed to Committed Advisors' flagship secondary strategy.

To read the full article on the Figaro website: https://bourse.lefigaro.fr/fonds/private-corner-collecte-de-130-millions-d-euros-pour-private-corner-secondary-fund-2022-20240122

Discover private equity funds open for subscription

Learn more about Private Corner and Committed Advisors

Private Corner is an independent asset management company based in Paris, specializing in investments in unlisted assets through private equity, private debt and investments in Brownfield and Greenfield infrastructure projects.

Committed Advisors is an independent, global private equity firm offering a wide range of solutions to investors and general partners seeking liquidity solutions for their private equity assets.

Interested in a feeder fund or other private equity investment solutions? Read our introductory guide to private equity.

What is a secondary private equity fund?

A secondary private equity fund is a type of unlisted asset investment fund that buys existing stakes in private equity funds rather than investing directly in unlisted companies. These transactions are referred to as “secondary” because they do not involve primary investments, i.e. funds raised directly from investors by the private equity fund for subsequent investment in companies.

How the secondary market works

Initial investors in a private equity fund may wish to sell their holdings prior to the fund's liquidation for a variety of reasons, such as the need for liquidity, portfolio rebalancing, or changes in investment strategy. Secondary private equity funds purchase these holdings, offering liquidity to selling investors.

Advantages

Investing in a secondary private equity fund offers a number of advantages that justify private equity firms' interest in this type of fund:

  • Liquidity: secondary funds offer a source of liquidity for private equity investors who would otherwise be committed over a long time horizon.

  • Access to mature investments: secondary market buyers can benefit from a shorter investment horizon and potentially lower risk, since investments are closer to maturity and their performance is easier to evaluate.

  • Portfolio diversification: secondary funds give investors access to a diversified portfolio of holdings in several private equity funds and companies, often with a single transaction.

Considerations

Before investing in secondaries, there are a number of considerations inherent to this type of private equity investment:

  • Valuation: the valuation of interests in secondary transactions can be complex, as it depends on many factors such as the current and estimated future performance of the underlying assets, market conditions and the remaining life of the fund.

  • Fees: investors in secondary private equity funds should take into account management fees and profit-sharing structures, which may affect the net return on investment.

  • Risk of partial or total loss of invested capital: like all private equity investments, secondary funds present risks of partial or total loss of invested capital.

Private equity secondaries play an important role in the private equity ecosystem, providing liquidity and facilitating portfolio management for investors. They also offer an opportunity for new investors to enter the private equity market at a later and potentially less risky stage of investment.

If you are interested in investing in a private equity feeder fund or in other unlisted asset investment solutions such as private debt, co-investment, contribution-cession or infrasctructures, please contact us to find out more about our offer.

Private Corner, a Paris-based private equity firm located at 161 Rue du Faubourg Saint-Honoré, in the 8th arrondissement.

Let's work together