GP Stakes Fund Managers Navigate Tough Exit Path
"""Investors should also appreciate that most of the investments in GP stakes funds have been made in the last five to 10 years – still within the expected lifespan of these vehicles,"" Pilcher added. Even so, most of the major GP stakes funds on the market have achieved some form of monetization already, and the ""velocity"" of that process is the highest it has ever been, he said. Indeed, while the GP stakes market may not need a true secondaries option, it still could benefit from one, Bonaccord's Pilcher said. ""The first question that most LPs ask about GP stakes is, 'How do I get out of this?'"" he said. ""Anything that increases the perception of liquidity, I think, is a healthy thing."""
"""Investors should also appreciate that most of the investments in GP stakes funds have been made in the last five to 10 years – still within the expected lifespan of these vehicles,"" Pilcher added.
Even so, most of the major GP stakes funds on the market have achieved some form of monetization already, and the ""velocity"" of that process is the highest it has ever been, he said.
Indeed, while the GP stakes market may not need a true secondaries option, it still could benefit from one, Bonaccord's Pilcher said.
""The first question that most LPs ask about GP stakes is, 'How do I get out of this?'"" he said. ""Anything that increases the perception of liquidity, I think, is a healthy thing."""