The private equity landscape has undergone a significant transformation over the past decade, and especially over the past several years, with secondaries becoming an ever-more mainstream liquidity solution and accounting for $100bn+ in transactions every year since 20211. GP-led secondaries transactions in particular have emerged as a pivotal development, with these deals making up around half of all secondaries completions by value since 2020, up from around a third previously.
To understand this segment of the market better, we sat down with Amyn Hassanally, Partner and Global Head of Private Equity Secondaries at Pantheon, to explore the drivers behind the rapid and sustained growth in this segment of the market, and the implications of this evolving phenomenon for investors.
Among other things, the discussion covered the role of GP-led secondaries in solving for limitations of the private market fund model, uncovered insights into deal flow, pricing, and performance, and examined the delicate balance of supply and demand in this burgeoning segment. It also covered what investors should seek in a GP-led secondaries manager, and how these transactions fit within a broader private equity portfolio.