Private Equity Funds-of-Funds

Investment Objective:

To deliver superior risk-adjusted returns through the identification and analysis of premier private equity partnerships.

The Invesco Edge:

  • Nearly 30 years of experience in private equity investing
  • Strong relationships with leading general partners
  • Access to a group of partnerships generally closed to new investors
  • Specialized emerging manager capabilities
  • Proven track record of strong long-term performance

Investment Strategy:

We believe that private equity offers the potential for above average returns to investors who understand the long-term, illiquid nature of the asset class. To achieve strong absolute returns, we shape our fund-of-funds portfolios with the following in mind:

  • Since we do not believe in market timing, we construct our portfolios over a multi-year period incorporating time diversification
  • To control portfolio risk, we also diversify by fund size, stage of investment, manager strategy, geography and industry
  • Once we construct an allocation mix across private equity sectors, the most critical way we add value is by applying our fundamental due diligence process to evaluate individual partnerships and their suitability for the portfolio

Our portfolios are constructed with a majority of small and mid-sized funds, as we believe that such funds are able to deploy capital more effectively and with greater flexibility. We build the core of each portfolio on premier partnerships that are often closed to new investors. We also seek to strengthen long-term performance through the selective backing of emerging manager funds spinning out from established groups.