Hamilton Lane Launches Private Secondary Fund in the U.S., Further Expanding Global Evergreen Platform
Rhea-AI Summary
Hamilton Lane (Nasdaq: HLNE) has launched the Hamilton Lane Private Secondary Fund (HLPSF), a new evergreen investment vehicle registered under the Investment Company Act of 1940. The fund targets U.S. accredited investors and qualified high-net-worth individuals, offering access to the firm's secondary investment platform.
Key features include:
- Quarterly liquidity potential
- Low investment minimums of $25K
- Immediate access to mature private equity investments
- Focus on partially to fully funded secondary investments
The fund aims to provide favorable risk-adjusted returns through a diversified portfolio across sponsors, strategies, industries, vintages, and geographies. It is part of Hamilton Lane's broader secondaries platform, which manages $24.1 billion in assets as of December 31, 2024, and extends the firm's $9+ billion Evergreen Platform.
Positive
- Low entry barrier with $25K minimum investment
- Quarterly liquidity potential for investors
- Access to mature private equity investments
- Part of established $24.1B secondaries platform
- Diversified portfolio across multiple sectors and strategies
Negative
- to accredited investors only
- No guaranteed protection against losses
News Market Reaction
On the day this news was published, HLNE declined 2.39%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Fund leverages firm's 24+ years of experience in the secondary market and extensive scale to capitalize on what the firm believes to be attractive long-term growth trends
HLPSF offers private wealth and institutional investors across the
- The potential for quarterly liquidity and investment minimums as low as
$25 K - Immediate access to a portfolio of mature private equity investments which are believed to be poised for value creation, and
- A focus on [partially to fully funded] secondary investments with strong visibility and liquidity profiles to produce attractive returns with reduced risk.
The Fund's strategy focuses on high quality middle market buyout funds and assets, with significant near-term distribution potential. It is also able to employ a flexible approach across secondary transaction types by leveraging Hamilton Lane's extensive experience and substantial capital deployment. The Fund is uniquely positioned to prioritize both entry discounts and long-term appreciation.
Steve Brennan, Head of Private Wealth Solutions at Hamilton Lane, commented, "We are thrilled to announce the continued expansion of our evergreen platform with the launch of HLPSF, as we seek to broaden access for a wider set of investors to the value creation opportunities afforded by the private markets. This evergreen fund structure offers both private wealth and institutional investors access to a portfolio of secondary investments diversified across vintages, industries, geographies and GPs, which we believe will drive long-term value creation."
Ryan Cooney, Managing Director on the Secondary Investment Team, added: "The secondary market today presents an opportunity set that is broader and more attractive than ever, with 2024 hitting a record level of volume. This part of the market offers a number of unique benefits to investors, especially those newer to the private markets, including knowledge of underlying assets, an increased pace of capital deployment and J-curve mitigation. We look forward to enabling access for more investors to capitalize on what we believe are the attractive long-term growth trends of the secondary market through a dedicated investment vehicle that offers the potential for liquidity."
The Hamilton Lane Private Secondary Fund is an extension of Hamilton Lane's broader secondaries platform, which the firm has been building for more than 24 years. The platform includes closed-end funds and SMAs totaling
For more information on Hamilton Lane's broader
*In this context, downside protection refers strictly to a strategic investment goal and is not meant to imply any guarantee against loss, including the loss of the entire principal amount invested.
**NAV as of December 31, 2024 for the combined Hamilton Lane evergreen platform.
About Hamilton Lane
Hamilton Lane (Nasdaq: HLNE) is one of the largest private markets investment firms globally, providing innovative solutions to institutional and private wealth investors around the world. Dedicated exclusively to private markets investing for more than 30 years, the firm currently employs approximately 740 professionals operating in offices throughout
Important Risk Information About PSF
Investors should consider the Private Secondary Fund's investment objectives, risks, charges, and expenses carefully before investing. For a prospectus that contains this and other information about the Fund, call 1 (888) 882-8212. Investing in the Fund involves risk including loss of principal.
• The Fund operates as a continuously offered non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended. • Though the Fund intends to repurchase shares quarterly, you may not have access to the money you invest for an extended period of time. • The Fund is not a liquid investment. • You may not be able to sell your shares at the time or in the quantity of your choosing regardless of how the Fund performs. • The Fund has limited operating history and the shares have no history of public trading and it is not anticipated that a secondary market for Shares will develop. We do not expect a secondary market in the shares to develop. • Because you may not be able to sell your shares at the time or in the quantity of your choosing, you may not be able to reduce your exposure to the Fund in a market downturn. • Shares are appropriate only for those investors who can tolerate a high degree of risk and do not require a liquid investment and for whom an investment in the Fund does not constitute a complete investment program. • The amount of distributions that the Fund may pay, if any, is uncertain. Past performance is not an indicator of future results.
Hamilton Lane Private Secondary Fund is distributed by PINE Distributors LLC. Hamilton Lane Advisors LLC is the Advisor to the Hamilton Lane Private Secondary Fund. PINE Distributors LLC and Hamilton Lane are unaffiliated.
View original content:https://www.prnewswire.com/news-releases/hamilton-lane-launches-private-secondary-fund-in-the-us-further-expanding-global-evergreen-platform-302389378.html
SOURCE Hamilton Lane
FAQ
What is the minimum investment required for Hamilton Lane's Private Secondary Fund (HLNE)?
How often can investors access liquidity in Hamilton Lane's HLPSF fund?
What is the total AUM of Hamilton Lane's secondaries platform as of December 2024?
Who can invest in Hamilton Lane's Private Secondary Fund (HLPSF)?
What type of investments does Hamilton Lane's HLPSF focus on?
