Analysis

Video: Asante’s Hibbert discusses first-time fundraising

Source: unquote | 16 Oct 2013 | screening image

As a surprisingly high number of newcomers reach successful fund closes despite continued turbulence in the fundraising market, Warren Hibbert of Asante Capital explains how maiden vehicles are finding success where many well-established players are falling by the wayside.

According to Hibbert, founding and managing partner of placement agent Asante, to explain the speed in which first-time funds are raising when compared to long-standing brand names, the fundraising market must be looked at from a broader context. "There's no automatic fundraising. And the market is bifurcated; there are smaller managers with high performance who are raising very quickly, and at the larger end of the market the bigger players who are raising at target or above target but are taking a lot longer."

Hibbert believes the pace at which the two types of funds are raising capital is a case of how much planning and thought has gone into the fundraising process.

"Then there are the funds in between these two groups, which some might label as zombie funds. Those funds without any differentiation that are struggling to stand out from the crowd, or those that are doing something completely different and haven't been able to find the right LPs to back them." Hibbert goes on to say that some of these funds might manage to raise somewhere close to their target, or not at all.

Hibbert emphasises that the common factor in whether the small, large or middle-of-the-road funds raise at all, is in their ability to reach a first close. "A first close effectively means you're in business; that you have enough cash to put together some form of diversified portfolio."

Hibbert also discuss the types of investors that are willing to back first-time funds and the main challenges impacting the fundraising market today.

Visitor Comments

 

Add your comment

We won't publish your address
By submitting a comment you agree to abide by our Terms & Conditions

Your comment will be moderated before publication.

search unquote.com

Industry news

Electra-backed Elian appoints Connolly as group chairman

Electra-backed Elian appoints Connolly as group chairman

Connolly served three terms as UK CEO of Deloitte

UK unquote

| 26 Nov 2014 | secure

Convex promotes Marlow to partner

Marlow joined Convex from Deloitte in 2006

UK unquote

| 25 Nov 2014 | secure

Wenger to step down as COO of Partners Group

Announcement part of wider reshuffle in the firm's management structure

DACH unquote

| 24 Nov 2014 | secure

Pensioenfonds Horeca appoints AlpInvest as PE manager

Pension fund expects to see €500m committed to programme in next four years

Benelux unquote

| 24 Nov 2014 | secure

Updating your subscription status Loading

People

John Connolly of Elian

Connolly served three terms as UK CEO of Deloitte

More people news

Daniel Hirschfield of Howard Kennedy

Daniel Hirschfield, Howard Kennedy

Hirschfield joins from Mayer Brown

More people news

Miranda Zhao of Lloyds Bank

Miranda Zhao, Lloyds Bank

Zhao previously worked at Erste, Citigroup, Deutsche Bank and Deloitte

More people news

Alejo Vidal-Quadras of 3i

Alejo Vidal-Quadras, KKR

Former country head joins KKR from 3i, which will not replace him

More people news

Philip Grindley of Grant Thornton

Philip Grindley, Grant Thornton

Grindley joins from PwC Germany

More people news

Events

No matching document

Email Alerts