Hamilton Lane Closes its Largest Fund To-Date on $5.6 Billion for Secondary Fund VI, Exceeding Target
Hamilton Lane has successfully closed its largest fund to date, raising $5.6 billion for Secondary Fund VI, surpassing its $5 billion target. This new fund exceeds the previous Secondary Fund V by over 40%, which closed at $3.9 billion in 2021. The firm's impressive fundraising efforts reflect strong support from a diverse group of investors, including corporate and public pension funds, sovereign wealth funds, and other financial institutions from over 30 countries. The firm's secondary platform now represents approximately $20.9 billion in assets under management as of March 31, 2024.
- Hamilton Lane raised $5.6 billion, surpassing the $5 billion target.
- The fund exceeded the previous Secondary Fund V by over 40%.
- Strong support from diverse investors in over 30 countries.
- Secondary platform now represents $20.9 billion in AUM as of March 31, 2024.
- Demonstrates a strong market-leading position within the asset class.
- Potential risks associated with managing a significantly larger fund.
- Increased competition in the secondary market could impact returns.
- Market conditions driving liquidity appetite may fluctuate.
The closing of Hamilton Lane's Secondary Fund VI at
Hamilton Lane's ability to attract a global investor base with Secondary Fund VI underscores its strong market position. The substantial increase in commitments compared to Fund V highlights a growing appetite for secondary market investments. This trend reflects a broader market shift towards seeking liquidity and risk-adjusted returns in private markets. For retail investors, this development suggests that Hamilton Lane is well-positioned to capitalize on these market dynamics. However, it's essential to monitor how effectively the firm can deploy this capital and manage its expanded portfolio to generate the expected returns. The ongoing geopolitical and economic uncertainties could pose challenges, impacting investor sentiment and fund performance.
- Firm's largest ever fundraise closes on
in commitments from a diverse international investor base$5.6 billion - Fund closing surpasses predecessor by more than
40%
Fund VI materially exceeded its original
Tom Kerr, Co-Head of Investments and Global Head of Secondary Investments, commented: "The success of this fundraise represents a significant milestone for Hamilton Lane and is a direct result of our market-leading position within the asset class. The circumstances driving appetite for liquidity in the market continue to grow, and we are excited to sit in a compelling position with what we believe is one of the most experienced and cohesive secondary platforms. Fund VI is a continuation of our longstanding secondary franchise, and we continue our mission of seeking to find differentiated secondary opportunities at attractive inflection points where we have familiarity and a competitive angle."
Ryan Cooney, Managing Director on the Secondary Investment Team, commented: "We are incredibly proud to announce the outstanding success of the fundraise for Secondary Fund VI, Hamilton Lane's largest fund to-date, and wish to express our gratitude for the trust and support from existing and new investors from around the globe. Our high-caliber investor base recognizes us for our differentiated deal flow, large network of touch points and an analytical investment approach that is backed by one of the industry's largest databases. Fund VI is off to a tremendous start and we are further encouraged by the robust pipeline of opportunities."
Hamilton Lane has been active in the secondary space for more than 24 years, aiming to provide investors with significant capital appreciation by delivering attractive risk-adjusted returns. The Fund's predecessor, Secondary Fund V, closed on
*Total secondary AUM includes discretionary and non-discretionary active commitments.
About Hamilton Lane
Hamilton Lane (Nasdaq: HLNE) is one of the largest private markets investment firms globally, providing innovative solutions to institutional and private wealth investors around the world. Dedicated exclusively to private markets investing for more than 30 years, the firm currently employs approximately 700 professionals operating in offices throughout
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SOURCE Hamilton Lane
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