BUILDING PRIVATE WEALTH BUSINESSES

EQT has announced a private-wealth platform with the launch of EQT Nexus. This is a global portfolio that will invest in the Swedish private equity firm's strategies, from mature buyouts to early-stage investments. In line with EQT's focus, it has a bias towards private equity and infrastructure and will co-invest alongside EQT funds. EQT Nexus is led by William Vettorato, who is a recent joiner from Partners Group.

Calpers Builds Out Its Pe Exposures

Over the past few years, CalPERS has bolstered its exposure to private equity and wants more. According to the Financial Times, the public pension plan is reviewing its existing PE investments, which total $52 billion, having increased the allocation in 2022/23 from 8% to 13%. In CalPERS' 2030 goals, CIO Nicole Musicco said the focus is on illiquid investments and building in-house capabilities, which has included the recent hire of Daniel Booth as Deputy CIO for private markets, having joined from the UK's Border to Coast Pension Partnership.

Mind The Gap

Private equity firms are trading at significant discounts of more than 30% of their net asset value, writes MoneyWeek. It is the same picture in private equity trusts, where valuation gaps range from 18% to 54%. This is according to Investec data. But it is not only the firms themselves that are trading at discounts, it is also some of their portfolio investments that are vbeing sold at a discount to their IPO price. An example is Bumble, which Blackstone sold shares at $22.80, having IPO'd at $43 in 2021.