The private equity secondary market; also often called Private Equity Secondaries or Secondaries; refers to the buying and selling of pre-existing investor commitments to private equity and other alternative investment funds.
Given the absence of established trading markets for these interests, the transfer of interests in private equity funds as well as hedge funds can be more complex and labor-intensive.
Swiss Finance Partners Group has created a joint-venture with Halocline Private Capital Ltd. which is a leading Private Equity company based in Malta and conducting its own investment activities along with its Limited Partners focusing globally on the secondary private equity market.
Indeed, together with Halocline Private Capital Ltd. we are an ideal replacement capital source for private equity, real estate, and infrastructure investors looking for both portfolio management and liquidity driven solutions for professional investors wishing to exit early from their Limited Partner positions in private equity funds or portfolios of direct investments in private companies (typically owned by financial institutions or corporations).
Unlike typical private equity secondaries firms, we only focus on secondary market and apply a deal driven or what we call “special situation” driven investment approach on all opportunities we consider.
Our funding process is indeed deal driven working alongside one or more proprietary Limited Partners. This is a model which is not only unique, more importantly it focuses our efforts on working very closely with our proprietary Limited Partners in order to secure and structure the ideal Limited Partner exit solution. It also makes us an ideal long-term replacement capital source with our funding partners when entering into a relationship with a new or existing General Partner.
We pride our approach on non-competitive transactions diligently originated by our proprietary relationships with Limited Partners and General Partners globally. It is precisely this unique approach that has allowed us to work very closely with limited partners and general partners as we focus on trust, discretion, flexibility, and efficiency when providing solutions.
Today, we have 20 international partnerships which do compliment our principal investment and origination activities in order to facilitate secondary liquidity from sellers globally. Secondary deals are sourced via local partners covering key local GP/LP relationships. Local partners are not only culturally and linguistically well positioned in most cases they are also regulated in their home markets.
Since 2005 our team has participated both as advisor, as well as principal acquirer working with its proprietary Limited Partners in the execution of over US $150bn of private equity, real estate, and infrastructure deals in over 40 transactions representing over 230 secondary LP stakes, and nearly 80 secondary direct transactions, as well as one co‑investment with indeed a total deal volume of over US $150bn.
Our International partnerships are formed indeed with major public listed companies, global banking and asset management groups, as well as international private equity investment and advisory firms.
Through the locally based teams we are now present in 16 countries in a number of key global geographic centers including North America, Latin America, Europe (Southern and Northern Europe), Middle East, and Asia including India and Japan.