News & Analysis

Blue Earth’s secondaries strategy – part of its soon-to-launch multi-strategy fund – has just acquired a portfolio of fund stakes from a UK development finance institution.

The Morgan Stanley-advised process on ski resort Alterra Mountain was backed by investors understood to include Singapore’s GIC.

The firm also closed on $1.5bn and $900m for its latest VC and real estate secondaries vehicles, respectively.

While many private markets investors and managers grapple with liquidity issues, there is one pocket of the market that stands to benefit.

Lexington Partners, Strategic Partners and Goldman Sachs Asset Management played a pivotal role in driving fundraising in the secondaries space last year.

A growing number of semi-liquid funds have a heavy allocation to secondaries.

The firm’s sixth secondaries flagship will be ‘meaningfully’ larger than its predecessor fund, according co-CEO Erik Hirsch.

Many limited partner institutions either have used the secondaries market to sell fund stakes, or are ready to hit the market with sales as soon as pricing hits the right level.

The EIF began backing LP-led transactions in buyout funds and hybrid debt-equity funds before investing in GP-leds in 2017, head of secondaries Joaquín Alexandre Ruiz Tarré tells Secondaries Investor.

Panelists say fundraising growth can boost bidders and cut pricing spreads.