“A seismic shift in strategies has been apparent in the latest generation of fundraising efforts. In today’s “new normal”, the old ways are rightfully being questioned and even threatened by innovative and reactive strategies.”
Who said it: Alice Murray, feature writer at Unquote
In context: Unquote has a very interesting report about fundraising trends and innovations in PE. This quote kicks it off. Topics discussed include the innovations amongst PE fundraisers, such as the “fundless” fund model (or deal-by-deal investing model) where momentum is growing with Duke Street Capital as the leading name in this emerging PE business model.
Unquote, which tracks a range of data in the global PE industry, says it is recording a high number of successful closes for relative newcomers, even as some big brands take much longer and miss their targets. The first time funds highlighted in the report are quite small, less than half a billion dollars, we note.
Other new trends noted that come as a result of the tough fundraising market are more investor-friendly terms, such as early-bird discounts and special agreements over co-investment rights or early liquidity options.
Where we found it: Unquote