Fund of Funds

 

An investment in a portfolio of fund managers (multi-manager investments) in a specific strategy.

 

Often LPs will use fund of fund vehicles if they are allocating to a strategy for the first time to reduce risk and diversify their investments.

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Major Considerations

  • Can be open to smaller and niche fund managers

  • Potentially focused on higher risk/reward opportunities

  • Can be opportunistic and quick to move

  • May like secondary and co-investment opportunities

Largest Fund of Funds

 

  1. Partners Group (Infrastructure) AUM – 100Bn

  2. Goldman Sachs AIMS PE (Private Equity) AUM - 65Bn

  3. Hamilton Lane (Private Equity) AUM – 65Bn

  4. HarbourVest Partners (Private Equity) AUM – 63Bn

  5. Pathway Capital Management (Private Equity) AUM – 62Bn

  6. Fort Washington Investment Advisors (Private Equity) AUM – 52Bn

  7. Pantheon (Infrastructure) AUM – 47Bn

  8. AlpInvest Partners (Private Equity) AUM – 42Bn

  9. Adams Street Partners (Private Equity) AUM – 40Bn

  10. Caixagest (Infrastructure) AUM – 39Bn

 

PreQin 2020

Articles of Interest

 

THESE ARE THE BEST PERFORMING FUND OF FUNDS IN PE; Institutional Investor

 

Private Equity Fund of Funds Overview; Allenlatta