CalPERS’ Post

GCM Grosvenor’s Elevate Fund has closed with nearly $800 million in committed capital, making it the largest debut private equity seeding fund of its kind. Launched in 2023, Elevate invests in small and emerging private equity firms, supporting middle-market buyout strategies. This milestone reflects strong confidence in emerging managers and our commitment to supporting firm founders for long-term success. Full press release: https://bit.ly/40HAghA #ElevateStrategy #EmergingManagers #GPSeeding #ShareGrosvenor Elizabeth A. Browne, Kevin Nickelberry, Alex Cohn, Matthew Nguyen, Tarra Thomas Sharp

Evergreen Fund in Focus: Coller Capital Private Equity Secondaries. SecondaryLink dives into the fund, unpacking the returns, share class performance, top fund positions, portfolio metrics and other details of CollerEquity. Jake Elmhirst | Boris Maeder #Secondaries #SecondaryMarket #AlternativeInvestments #PrivateMarkets #RetailInvestors https://lnkd.in/e2C_Hv_i

📈 After a recent deal hiatus, pressure is building on sponsors from LPs to start exiting longstanding portfolio companies. To find out more, read Actum Group's latest secondary buyout analysis at https://lnkd.in/e85Tqjxg The analysis includes insights from Andrew Steel, Founder and Managing Partner at Cairngorm Capital Partners LLP; Fred Dearden, Head of Private Equity Advisory at Mazars; and Florencia Kassai, Partner and Head of Inflexion’s buyout fund. #SecondaryBuyouts #ExitStrategy #ValueCreation #ValueLevers #PrivateEquity #ActumGroup

Concentration is not the answer and may set the vintage up for failure. The three largest funds raised this year equal the total allocations to emerging managers in 2023. These three funds need half a TRILLION in exit valuations to return 3x to LPs. The 2024 vintage may well underperform relative to other years because of its concentration. Emerging managers who invest early, at lower valuations, with contrarian views, can dominate the performance of this vintage. #VC #venturecapital

Good morning from sunny Silicon Valley! Fundraising for middle-market buyout firms has remained strong, even as investors become more selective. In Q1, these firms raised $31.9B across 29 funds, which is nearly half of all private equity capital, according to PitchBook. Additionally, 90% of these funds closed on larger amounts than their predecessors. Middle-market funds outperformed larger counterparts, with a one-year rolling IRR of 3.8% in Q4 2022, nearly 900 basis points above megafunds. Despite narrowing, they still yielded 12.7% over the last year, compared to 7.6% for megafunds. Potential interest-rate cuts may shift the focus back toward larger funds, but for now, middle-market funds continue to deliver fantastic returns. Check out this Pitchbook article for more insights - https://lnkd.in/gx7c6dS4 #mergersandacquisitions #venturecapital #innovation #privateequity #vc #techlaw #foleyforward #garage2global Foley & Lardner LLP

2025 US Private Equity Outlook Our analysts’ outlook on the private equity market * The share of cumulative capital raised for private debt funds will hit a decade high of 33% for the top 10 managers * PE-backed IPOs will capture 40% of US IPO capital * The maturity wall facing PE funds will grow as GPs struggle to wind down older vintages that enter their harvesting stage. * PE will see a decline in annual fundraising following multiple years of robust activity.

The private equity world has seen a record-breaking trend in continuation funds since 2020. With 2025 on track to surpass last year's record of 65+ deals and $27.3 billion in volume, a key question remains: how are these funds performing? A&M's Managing Director, Anthony Caporrino, was recently featured in FundFire's article, "Continuation Funds Stormed the Alts World, But Are They Performing?" In the article, Caporrino discusses how continuation vehicles aim to replicate the performance of buyout strategies and other private funds. He also highlights the potential for these vehicles to help distinguish top-performing managers as more comprehensive data becomes available. Read more insights in the article: https://okt.to/o7r9G6 #AMon #PrivateEquity #ContinuationFunds Paul Aversano, Katia Lacy, Stacy Kirshner, Greg Cibuzar, Alison Fink, Jeremy Nanus, Vivian Santora

Amid a slower deal environment, private equity buyout managers can adapt their approach to value creation—and, as a first step, emphasize improvements to operational efficiency. Based on our years of research and experience working with a range of private-capital firms across the globe, we have identified two key principles to maximize operational value creation. First, buyout managers should invest with operational value creation at the forefront. Second, everyone should understand and have a hand in improving operations. In our experience, getting these two principles right can significantly improve PE fund performance. Our initial analysis of more than 100 PE funds with vintages after 2020 indicates that general partners that focus on creating value through asset operations achieve a higher internal rate of return—up to two to three percentage points higher, on average—compared with peers.

Amid a slower deal environment, private equity buyout managers can adapt their approach to value creation—and, as a first step, emphasize improvements to operational efficiency. Based on our years of research and experience working with a range of private-capital firms across the globe, we have identified two key principles to maximize operational value creation. First, buyout managers should invest with operational value creation at the forefront. Second, everyone should understand and have a hand in improving operations. In our experience, getting these two principles right can significantly improve PE fund performance. Our initial analysis of more than 100 PE funds with vintages after 2020 indicates that general partners that focus on creating value through asset operations achieve a higher internal rate of return—up to two to three percentage points higher, on average—compared with peers.

Amid a slower deal environment, private equity buyout managers can adapt their approach to value creation—and, as a first step, emphasize improvements to operational efficiency. Based on our years of research and experience working with a range of private-capital firms across the globe, we have identified two key principles to maximize operational value creation. First, buyout managers should invest with operational value creation at the forefront. Second, everyone should understand and have a hand in improving operations. In our experience, getting these two principles right can significantly improve PE fund performance. Our initial analysis of more than 100 PE funds with vintages after 2020 indicates that general partners that focus on creating value through asset operations achieve a higher internal rate of return—up to two to three percentage points higher, on average—compared with peers.