StepStone Group Closes Fourth Tactical Growth Fund with Over $700 Million in Capital Commitments

Rhea-AI Summary

StepStone Group (Nasdaq: STEP) has successfully raised $705 million for its fourth StepStone Tactical Growth Fund (STGF IV), focusing on growth equity market opportunities. The fund attracted diverse investors including sovereign wealth funds, public pensions, and family offices.

STGF IV targets founder-led businesses in technology and healthcare sectors outside traditional venture capital, seeking companies with rapid topline growth, strong margins, and minimal leverage. The fund is managed by StepStone's Venture Capital and Growth Equity Team, which deploys approximately $5.5 billion annually across various investment types.

With over 80 dedicated investment professionals, StepStone implements flexible investment strategies including direct co-investments, continuation vehicles, and secondary transactions.

Positive

• Successfully raised $705 million for fourth growth fund
• Diverse institutional investor base indicates strong market confidence
• Large-scale operations with $5.5 billion annual deployment capacity
• Substantial team of 80+ dedicated investment professionals

Negative

• None.

NEW YORK, April 25, 2025 (GLOBE NEWSWIRE) -- StepStone Group Inc. (Nasdaq: STEP), a global private markets investment firm focused on providing customized investment solutions and advisory and data services, today announced that it has raised $705 million for StepStone Tactical Growth Fund IV (“STGF IV” or the “Fund”), the firm’s fourth fund focused on opportunities within the growth equity market. The Fund had strong participation from a range of investor types including sovereign wealth funds, public pensions, superannuation funds, funds-of-funds, family offices, and private wealth platforms.

Through STGF IV, StepStone partners with leading growth equity sponsors in the technology and healthcare sectors. The Fund pursues founder-led businesses outside the traditional venture capital ecosystem that exhibit rapid topline growth, strong margins, capital efficiency, and minimal leverage. StepStone believes these businesses have the potential to provide complementary exposure to both buyout and venture investments while generating liquidity that is not dependent on an open IPO market or large-scale strategic M&A.

STGF IV is managed by StepStone’s Venture Capital and Growth Equity Team, which is among the most active investors in the space globally, deploying an average of $5.5 billion each year over the last three years across direct investments, secondaries, and primary fund investments. This scale, coupled with a team of more than 80 dedicated investment professionals, enables StepStone to partner closely with trusted GP relationships to identify and invest in companies in creative and flexible ways such as direct co-investments, single or multi-asset continuation vehicles, and secondary transactions.

“The successful closing of STGF IV reflects the investor community’s conviction in the growth equity market opportunity, along with StepStone's leading role as a creative and trusted partner to elite growth equity sponsors,” said Brian Borton, Partner. “We would like to thank both our investors and GPs for their continued confidence in StepStone as a solutions provider in the growth equity sector."

Fried, Frank, Harris, Shriver & Jacobson LLP advised on the formation of the Fund.

About StepStone

StepStone Group Inc. (Nasdaq: STEP) is a global private markets investment firm focused on providing customized investment solutions and advisory and data services to its clients. As of December 31, 2024, StepStone was responsible for approximately $698 billion of total capital, including $179 billion of assets under management. StepStone’s clients include some of the world’s largest public and private defined benefit and defined contribution pension funds, sovereign wealth funds and insurance companies, as well as prominent endowments, foundations, family offices and private wealth clients, which include high-net-worth and mass affluent individuals. StepStone partners with its clients to develop and build private markets portfolios designed to meet their specific objectives across the private equity, infrastructure, private debt and real estate asset classes.

Contacts

Shareholder Relations:
Seth Weiss
shareholders@stepstonegroup.com
+1 (212) 351-6106

Media:
Brian Ruby / Chris Gillick / Matt Lettiero, ICR
StepStonePR@icrinc.com
+1 (203) 682-8268

FAQ

How much capital did StepStone Group (STEP) raise for its fourth Tactical Growth Fund?

StepStone Group raised $705 million for its StepStone Tactical Growth Fund IV (STGF IV).

What is the investment focus of StepStone's STGF IV fund?

STGF IV focuses on founder-led businesses in technology and healthcare sectors, targeting companies with rapid topline growth, strong margins, and minimal leverage outside traditional venture capital.

How much capital does StepStone's Venture Capital and Growth Equity Team deploy annually?

The team deploys an average of $5.5 billion annually across direct investments, secondaries, and primary fund investments.

What types of investors participated in StepStone's STGF IV fundraising?

The fund attracted sovereign wealth funds, public pensions, superannuation funds, funds-of-funds, family offices, and private wealth platforms.