Preqin’s Funds in Market database tracks 159 private equity fund of funds vehicles currently seeking capital commitments, of which 18% are predominantly focused on investment in Europe-focused funds. Despite only making up a minority proportion, the aggregate amount these 29 vehicles are looking to raise comes to a significant total of €6.5bn.
The largest fund of funds vehicle currently in market that has a primary focus on Europe is Adveq Specialized Investments. The vehicle, which has a target size of €500mn, is managed by the Swiss private equity fund of funds manager, Adveq. The fund reached a second close in May 2014 on €141mn. It will allocate 50% of committed capital to small and mid-market buyout funds, and up to 20% each in venture capital, turnaround and growth vehicles. The fund will predominantly focus on opportunities in Europe and North America, yet it also has the capacity to allocate up to 15% of committed capital to funds targeting emerging economies, including Asia and Latin America. Adveq Specialized Investments will make both primary and secondary commitments, as well as co-investments.
The second largest fund of funds vehicle currently in market with a primary focus on Europe is Altamar VIII Private Equity Program, which has a target size of €400mn. The fund, raised by Altamar Private Equity, held a first close on €100mn in June 2014, and will invest in funds managed by long-standing GPs with experience in buyouts. The fund will make primary commitments, as well as investing on the secondary market and seeking co-investment opportunities.
The third largest Europe-focused fund of funds vehicle currently in market is Access Capital Fund VI - Growth Buyout Europe, which has a target size of €400mn. The fund, raised by Access Capital Partners, held a second close on €350mn in October 2014. It will make both primary and secondary investments across Europe-focused buyout and special situations funds.