LGT Capital Partners Raises $2B for Private Equity, Credit Vehicles

LGT Capital Partners has raised $2 billion for two new semi-liquid open-ended investment funds. The structures, one focusing on private credit and the other on secondary and co-investments, give institutional investors and wealth management clients access to fully funded private market strategies while providing consistent liquidity.

The vehicles will align closely with the asset manager’s flagship LGT Endowment evergreen portfolio, which was launched in 1998. The portfolio has been built up over the last two years, investing after recent private equity market peaks, and today has over 750 underlying portfolio companies. The strategy benefits from the firm’s investment relationships with over 700 private equity sponsors globally.

The private credit strategy invests through a combination of yield-oriented and opportunistic credit, through both corporate and asset-backed strategies.

“We are pleased to be able to offer our private markets platform to a wider range of clients through open-ended fund structures,” said Sascha Gruber, partner at Switzerland-based LGT Capital Partners. “They provide increased flexibility with efficient fee structures and address some key challenges of investing in these asset classes.”

In June, the firm raised $3 billion for the final close of its latest direct secondaries fund, nearly doubling the size of its predecessor in the strategy.

LGT Capital Partners manages over $70 billion in private markets assets, with a global team of over 350 professionals and 15 offices in Europe, the US, and Asia.