Evergreen private markets funds give individual investors a route to take advantage of the illiquidity premium available in private markets while still offering flexible liquidity. These structures provide periodic subscriptions and redemption windows, but they are ultimately perpetual capital vehicles, and in order to best reap the benefits offered by these funds, investors need to utilize them as a long-term strategy rather than a tactical, short-term tool.

These funds are designed to maintain continuous private markets exposure over time to grant investors access to the benefits of private markets such as diversification, exposure to a wide opportunity set, and strong performance boosts from the compounding effect of recycling, allowing their returns to snowball over time. It also means that managers have the stability in a fund to continue investing in the strongest opportunities that emerge over time, meaning that vintage diversification is built in, and allows for a simplified operational experience.

Individual investors may feel under pressure to try to ‘time the markets’ – investing in markets at just the right moment to take advantage of price movements. But over the long-term, time in the markets – staying invested throughout any wider market noise – is usually a far more efficient and effective approach.