Private Markets Podcast, Fund Shack www.fund-shack.com

Space is no longer just about rockets, satellites and astronauts. In this episode, Ross Butler speaks with Mark Boggett, CEO and General Partner of Seraphim Space, about how SpaceTech is becoming a critical infrastructure layer for defence, communications, data, AI, energy and industrial activity.

Following the recent SpaceX IPO, many investors are being forced to develop a view on space. But as Mark explains, SpaceX is only one part of a much broader ecosystem. Launch and Starlink may dominate the headlines, but the wider opportunity includes Earth observation, satellite communications, orbital infrastructure, in-space servicing, data platforms, defence applications, AI-enabled analysis and even the early foundations of space-based energy and computing.

The conversation explores why defence is currently the main revenue engine for SpaceTech companies, particularly across dual-use technologies that serve both military and commercial markets. Mark explains how European governments are reassessing their dependence on US space capabilities, why Germany is becoming more active, and why the UK continues to produce strong SpaceTech start-ups while still facing a later-stage capital gap.

Ross and Mark also examine the commercial side of the market. AI is making satellite data easier to ingest, interpret and apply across industries. Falling launch costs, particularly through Starship, may change the economics of orbital infrastructure. That could make previously speculative ideas, such as orbital data centres, in-space manufacturing and solar energy generation, more plausible over time.

Mark also discusses Seraphim’s own investment model, from accelerator stage through to venture and listed growth capital. He explains why specialist knowledge matters in SpaceTech, why vertical integration can create powerful moats, and why permanent capital may be well suited to companies building the next layer of digital infrastructure in space.

In this episode:

• Why space is better understood as infrastructure than as a conventional sector
• Where the opportunity sits beyond SpaceX, Starlink and launch
• Why defence demand is accelerating revenues across dual-use SpaceTech
• How AI is changing the economics of satellite data
• Why falling launch costs could unlock orbital computing and manufacturing
• How orbital debris and in-space servicing are becoming investable markets
• Why Seraphim uses accelerator, venture and listed growth capital structures

Guest: Mark Boggett is CEO, General Partner and co-founder of Seraphim Space, an investment firm dedicated to the global SpaceTech market. He helped launch the world’s first venture-capital fund focused exclusively on SpaceTech in 2016.

🔗 CONNECT on LinkedIn

https://www.linkedin.com/in/mark-boggett-5044631/

Seraphim’s platform spans an accelerator, early-stage venture capital and the London Stock Exchange-listed Seraphim Space Investment Trust, giving the firm exposure to businesses from formation through to growth stage.

🌐www.seraphim.vc

HostRoss Butler is the founder and host of Fund Shack. He has worked around private capital for 25 years as a journalist, policy adviser and consultant, and is the author of Invest Like a Barbarian: Share in the Spoils of a Private Markets Revolution.

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Private markets were built around illiquidity. Investors commit capital, managers invest it over time, and cash comes back when assets are sold. But as private equity, private credit and private markets have scaled, the industry has had to build a more sophisticated liquidity toolkit.

In this episode of Private Markets Podcast, Fund Shack, Ross Butler speaks with Alex Branton, Chief Investment Officer at Nodem Capital, about what NAV really means, how NAV lending works, and why secondaries, continuation vehicles, structured secondaries and evergreen funds are becoming central to private markets.

Alex explains how NAV lending sits on a spectrum. At low loan-to-value ratios, it looks like conservative credit. At higher LTVs, it begins to resemble preferred equity or structured secondaries, where the lender takes more equity-like risk and future upside is shared.

The episode explores why NAV loans are controversial. They can fund an accretive acquisition, support a strong portfolio company or buy a discounted secondary position. But they can also accelerate DPI or distribute cash when the underlying assets may not be ready for exit. The structure is not the issue. The motivation is.

Ross and Alex also discuss the robustness of NAV itself. NAV is not cash in the bank. It is a manager mark, shaped by comparable multiples, valuation policy, auditor review and GP judgement. For NAV loans, secondaries and evergreen funds, NAV matters because it is the reference point for buying, selling, lending and redeeming.

The conversation then turns to evergreen funds and private wealth access. Alex is positive about evergreen vehicles, but warns that implied liquidity creates a challenge. Investors need to understand how NAV is constructed, how redemptions work and what happens when negative headlines trigger outflows.

The episode finishes with private credit, software exposure, defaults and recent market anxiety. Alex argues that the market should distinguish between genuine credit risk and liquidity pressure inside fund structures. His view is that private credit headlines are often overstated, but underwriting standards, leverage, amend-and-extend behaviour and smaller-market lending should still be watched carefully.

Topics covered include:

🔹What NAV really means in private markets

🔹How NAV lending works

🔹 LP-led and GP-led secondaries

🔹Continuation vehicles and strip sales

🔹Structured secondaries and preferred equity

🔹Loan-to-value, downside protection and equity risk

🔹DPI acceleration versus accretive NAV loan use cases

🔹Why NAV lending is controversial

🔹LPAC governance and investor alignment

🔹 Why NAV is not the same as cash

🔹 Secondary market pricing and bid-ask spreads

🔹Evergreen funds and private wealth access

🔹 NAV squeezing, or NAV stretching

🔹Private credit risk, SaaS exposure and default rates

🔹Why fund structure matters as much as asset quality

This episode is essential listening for GPs, LPs, private credit investors, secondaries specialists, family offices, wealth advisers and anyone trying to understand how liquidity, valuation and alignment are changing across private markets.

Guest: Alex Branton, Chief Investment Officer, Nodem Capital

🔗 https://www.linkedin.com/in/alex-branton-b6130a27/

Host: Ross Butler, Fund Shack

🔗 https://www.linkedin.com/in/rossbutler1/

Ross Butler speaks with Matteo Stefanel and Udayan (“Uday”) Goyal, Co-Founders and Managing Partners of Apis Partners, one of the world’s leading growth-equity investors in financial technology.

Founded in 2014, Apis Partners has built a global fintech franchise by applying M&A discipline to private equity: identify the likely acquirers first, then build the company to fit their strategic blueprint. In this conversation, Matteo and Uday explain how they turned two decades of deal-making experience, from DLJ and Deutsche Bank to advising on Visa, Mastercard, and Worldpay into one of the most distinctive investment models in growth capital.

They discuss:

• How Apis built credibility as a first-time fund manager, raising $290m at launch and scaling to a multi-fund global platform.
  

• The importance of the network as an asset, relationships forged over 20 years now drive sourcing, diligence, talent, and exits.
  

• “Exit-first” investing, designing portfolio companies around known strategic buyers and building to a defined market demand.
  

• Why 2025 marks the most disruptive moment in financial services history, as stablecoins, micropayments, and decentralised rails reshape how money moves.
  

• The rise of agentic AI, where your personal financial assistant will soon negotiate directly with your bank’s AI.
  

• Embedded finance and the subscription economy, from iPhones to autos, where distribution and customer ownership, not balance sheet, define value.
  

• The democratisation of wealth, as technology opens private-market access to a broader investor base while raising new questions about fairness, data, and risk.
  

“Finance will be invisible, stitched into every product, every experience.”

This is a forward-looking discussion about what comes after banking, where technology, capital, and human behaviour converge to redefine how financial systems work and who benefits from them.

🎧 Watch the full conversation at www.fund-shack.com

Follow Fund Shack on YouTube, Spotify, and Apple Podcasts for more conversations with the people shaping private markets and the future of finance.

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Thank you to our episode partner, Brookfield’s Private Equity Group: A Global leader in acquiring and driving operational transformation in industrials and essential business services.

For more information, visit: www.brookfield.com/it-takes-industry

🔹🔹🔹🔹🔹🔹

💼 Learn more at:

🌐 www.apis.pe

🎙️Matteo Stefanel

Managing Partner & Co-Founder, Apis Partners

Linkedin: https://www.linkedin.com/in/matteostefanel/

🎙️Udayan Goyal

Managing Partner & Co-Founder, Apis Partners

Linkedin: https://www.linkedin.com/in/ugoyal/

Ross Butler

Founder and Host Fund Shack

🌐 www.fund-shack.com

CONNECT on LinkedIn www.linkedin.com/in/rossbutler1/

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00:00 Fintech revolution begins, Apis Partners ranked global #2

01:45 Meet Apis Partners, fintech growth investors Matteo Stefanel & Udayan Goyal
03:06 From Wall Street to growth capital, building a fintech platform
05:01 Relationships as alpha networks turned into exits

07:56 Exit-first model designing for strategic buyers

11:24 Value creation buy-and-build and customer access

16:21 Partnering with founders, trust and alignment

18:20 Stablecoins & 24-hour liquidity, treasury reinvented

23:54 Micropayments & continuous finance, real-time money flow
27:27 Agentic AI, automation reshaping financial services
31:15 Embedded finance & subscriptions, banking disappears

36:52 Who owns the customer, brands vs banks

42:46 Finance as social engine,from UBI to capital ownership

47:00 Democratising wealth, opening private-market access

50:20 Bitcoin vs stablecoins, new financial infrastructure
54:28 the future of finance

Brookfield is renowned for running the companies it owns, not just financing them. In this episode, Ross Butler speaks with Adrian Letts, Managing Partner in Brookfield’s Private Equity Group and Head of Business Operations, to explore how the firm’s operator-led model drives value creation from origination through exit.

Adrian explains how Brookfield embeds operators alongside investors, with shared carry, shared accountability, and a shared mandate to transform portfolio companies. He discusses organisational design as a true value lever, why smaller and senior operating teams outperform larger ones, and how AI and digital tools are reshaping performance management and working-capital efficiency across the Brookfield ecosystem.

From aligning incentives and structuring teams to deploying data and AI in real assets, this is a masterclass in how private equity really creates value.

#PrivateEquity #Brookfield #ValueCreation #FundShack #AdrianLetts #PrivateMarkets #OperationalExcellence #AI #AlternativeInvestments #Leadership

Private markets are no longer on the sidelines. With listed companies shrinking and private companies multiplying, alternatives are becoming a core component of diversified portfolios.

In this episode of Fund Shack, Ross Butler speaks with William Benjamin, Head of Alternative Solutions at HSBC Asset Management, about how alternatives are evolving and why investors haven’t “missed the boat” in the 2020s.

Benjamin discusses:

• Why private equity, credit, infrastructure, and venture capital are central to HSBC’s $75bn alternatives platform
  

• The growth of evergreen fund structures and what investors should look for in managers
  

• The challenges and opportunities of democratizing access to private markets
  

• How HSBC leverages its global footprint to source opportunities beyond New York and London
  

• The cultural and career dynamics of talent in alternatives
  

This conversation explores how one of the world’s largest financial institutions is positioning itself in alternatives, and why Benjamin believes the next phase of growth will be defined not just by institutions, but by the increasing participation of high-net-worth investors.

🔹🔹🔹🔹🔹

👉 Subscribe to Fund Shack for more in-depth conversations on private markets and the future of investment.

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💼 Learn more at:

HSBC Asset Management

🌐 www.assetmanagement.hsbc.co.uk

William Benjamin, Head of Alternative Solutions at HSBC Asset Management

🔗 https://www.linkedin.com/in/w-benjamin/

Ross Butler Founder and Host Fund Shack

🌐 www.fund-shack.com

CONNECT on Linkedin

www.linkedin.com/in/rossbutler1/

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00:00 – Introduction: William Benjamin, HSBC Asset Management
01:03 – Why alternatives are becoming mainstream
02:13 – Haven’t investors missed the boat?
03:49 – Diversification and resilient portfolios
04:36 – Democratization of private markets
05:00 – Evergreen funds: what investors should know
06:22 – Private equity & HSBC’s global sourcing edge
09:46 – Private credit: diversification and risk management
13:43 – Infrastructure, venture capital & new opportunities
16:24 – $75bn in alternatives: HSBC’s growth outlook
19:53 – Talent, culture & career advice in alternatives
23:12 – Data, digital platforms & evergreen structures
28:12 – The five-year outlook for private markets

🔹🔹🔹🔹🔹

#PrivateEquity
#PrivateMarkets
#AlternativeInvestments
#FundShack
#HSBCAssetManagement
#EvergreenFunds
#PrivateCredit
#InfrastructureInvesting
#VentureCapital
#PortfolioDiversification
#WealthManagement
#InstitutionalInvestors
#HNWInvesting
#AssetManagement
#InvestmentStrategies

Alex van Someren has spent his career at the frontier of technology, venture capital, and national security. From joining Acorn Computers as a teenager, the company that seeded ARM Holdings, to co-founding cryptography firm nCipher, becoming a partner at Amadeus Capital Partners, and later serving as the UK’s Chief Scientific Adviser for National Security, his career offers unique insight into how capital and innovation shape geopolitics.

In this episode, Alex explains how the UK’s National Security Strategic Investment Fund (NSIF) mirrors DARPA-backed venture in the US, why government must learn to take risk to access frontier technology, and the realities of venture capital returns. He discusses the hype and risks around artificial intelligence, the disruptive potential of quantum computing, the fragility of semiconductor supply chains, and the ESG debate around nuclear energy and small modular reactors.

For investors, entrepreneurs, and policymakers, this conversation maps the crucial intersection of capital, technology, and defence in a changing global order.

🔹🔹🔹🔹🔹

Thank you to our episode partner

Brookfield’s Private Equity Group: A Global leader in acquiring and driving operational transformation in industrials and essential business services.

For more information, visit:

www.brookfield.com/it-takes-industry

🔹🔹🔹🔹🔹

👉 Subscribe to Fund Shack for more in-depth conversations on private markets and the future of investment.

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💼 Learn more at:

Paladin Capital Group

🌐 www.paladincapgroup.com

Alex van Someren

www.paladincapgroup.com/people/alex-van-someren/

Ross Butler Founder and Host Fund Shack

🌐 www.fund-shack.com

CONNECT on Linkedin

www.linkedin.com/in/rossbutler1/

🔹🔹🔹🔹🔹

Alex van Someren, Fund Shack, Venture Capital, Private Equity, National Security, Defence Technology, Dual-use Technology, Cryptography, nCipher, Amadeus Capital Partners, Acorn Computers, ARM Holdings, National Security Strategic Investment Fund, NSIF, DARPA, Government Venture Capital, AI, Artificial Intelligence, Large Language Models, Quantum Computing, Post-Quantum Cryptography, National Cyber Security Centre, NCSC, Semiconductor Supply Chain, CHIPS Act, National Semiconductor Strategy, Space Technology, Satellites, ESG, Nuclear Energy, Small Modular Reactors, Fusion Energy, Private Markets, Technology Innovation, Geopolitics, UK Venture Capital, Silicon Valley, Defence Spending, NATO, Paladin Capital, Calypso AI, Emerging Technologies, Risk and Innovation, Venture Returns

0:00 – Introduction

0:40 – From teenage coder to Acorn Computers and ARM Holdings

2:33 – Leaving school at 17: self-taught entrepreneur

3:26 – Building nCipher and cryptography’s real-world applications

5:27 – Dual use: civilian vs. national security technology

7:21 – The hidden history of venture capital and DARPA

8:58 – The UK’s National Security Strategic Investment Fund (NSIF)

10:42 – Risk, government spending, and culture clash with VC

15:53 – “If you aren’t losing at least half your money…”

20:08 – The US CHIPS Act and Europe’s semiconductor challenge

29:23 – Venture capital’s boom in defence spending

36:18 – AI is over-hyped, over-used, and makes us stupid

40:30 – Defending the corporate AI stack (Paladin & Calypso)

44:00 – Quantum computing: encryption at risk

47:38 – Why space is now accessible to schoolchildren

51:31 – ESG and nuclear: small modular reactors, fusion, and energy policy

56:10 – Why making money in venture capital is so hard

59:05 – Closing reflections

🎧 Episode #74: Emerging Managers: What It Takes to Make It

Guests: Kim Pochon (Unigestion) & Joe Briggs (BCF )

Series Launch: Fund Shack's Emerging Manager Series

In this launch episode of Fund Shack’s Emerging Manager Series, Ross Butler speaks with Kim Pochon, Global Head of Primary Investments at Unigestion, and Joe Briggs, Founder of BCF, to explore what it really takes to build a successful first-time private equity fund.

With LP appetite growing for new franchises, this episode unpacks the strategic, structural, and psychological factors that separate enduring platforms from short-lived experiments.

🧱 Why “Emerging” Doesn’t Mean Inexperienced
Most “emerging managers” are seasoned investors; what’s new is their journey into firm-building. While GPs may dislike the label, it matters deeply to LPs allocating to this segment.

💡 Early Access = Long-Term Advantage
Backing a first-time fund is about more than returns, it’s about gaining long-term partners. Kim Pochon shares how Unigestion’s early bets have evolved into deep collaborations across continuation vehicles, co-investments, and secondaries.

🛠️ The Rise of Independent Sponsors and Hybrid Funds
Joe Briggs outlines how deal-by-deal models, mini-funds, and short-duration strategies are allowing first-time managers to build track records and LP trust, without raising blind pool capital on Day 1.

👥 Team Dynamics: The Critical Risk Factor
Strategy is important, but people matter more. LPs scrutinise equity splits, decision-making processes, and team chemistry. Execution risk is often people risk.

🔥 Why Founders Spin Out, and What Sets Them Apart
From high-paid roles to high-risk launches, Joe and Kim explore what drives professionals to strike out on their own, and why the best emerging managers have a clear purpose and strong conviction.

📈 “Know Why You Deserve to Exist”
As Briggs puts it, emerging GPs must clearly articulate why their platform should exist, what differentiates it, and how it delivers value to LPs from Day 1.

🔗 Fund Shack is an independent podcast serving the global private capital industry.

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Tags

emerging managers, first-time funds, private equity, GP spinout, fundless sponsor, Unigestion, BCF, private equity podcast, Fund Shack, Ross Butler, LP allocations, fundraising, private markets, private capital, institutional investors, evergreen funds, independent sponsor model, PE fund structure, LP/GP alignment, continuation vehicles

🎧 Episode #73: The Expanding Role of Private Markets in Wealth Portfolios

Guest: Kyle D. Kniffen, Goldman Sachs Asset Management

In this Fund Shack episode, recorded live at SuperReturn in Berlin, Ross Butler speaks with Kyle D. Kniffen, Managing Director and Global Head of Alternatives for Third Party Wealth at Goldman Sachs Asset Management. With over $500 billion in alternative assets under management, Goldman Sachs is at the forefront of delivering institutional-grade private markets strategies to the private wealth segment.

Kniffen outlines how the shift from public to private markets is reshaping modern portfolios, and how Goldman Sachs is using open-architecture, multi-asset solutions to unlock access for high-net-worth investors.

The number of public companies has declined. Innovation now happens in private markets. For wealth managers, private equity, private credit, and real assets are becoming core exposures, not niche allocations.

Goldman Sachs is responding with evergreen structures, simplified tax reporting, and lower minimums, but also stresses the need for investor education and clarity around liquidity expectations.

Institutions typically allocate 20–30% to alternatives; individual investors? Just 5%. Goldman Sachs is investing heavily in curriculum-style education for wealth advisers and clients, covering everything from "what are alternatives?" to live updates on market trends.

Delivery channels include:

• Custom sessions

• Specialist teams

• Ongoing reporting

Kniffen discusses the trade-offs between drawdown funds and evergreen formats, especially in private credit.

Evergreen vehicles offer:
✔️ Simpler onboarding
✔️ Optional liquidity
✔️ Operational ease

But also require:
- Strong duration management
- Secondary market integration
- Disciplined product structuring

Goldman applies the same innovative lens to private equity, infrastructure, and real asset, blending directs and secondaries to reduce duration risk while preserving alpha.

Diversification is key, but so is alignment. Goldman invests its own balance sheet and employee capital alongside clients. Transparency, robust reporting, and post-sale service are core to the client experience.

For most wealth clients, alternatives remain a new frontier. This creates enormous opportunity for firms that combine performance with education, care, and long-term partnership. Goldman Sachs is positioning itself as a trusted guide for wealth managers navigating this complexity.

Thank you to our episode partner, Edelman Smithfield, a specialist PR and communications consultancy for the financial markets. Their expertise in private capital spans fundraising, strategic positioning, portfolio communications, and reputation management.

🔗 Learn more: edelmansmithfield.com

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Fund Shack is an independent media platform delivering deep-dive insights into private capital and produced by Linear B Group.

Episode #72: Bitcoin - The Alternative You Can No Longer Ignore

Guest: Matthew Hougan, Chief Investment Officer, Bitwise Asset Management

Bitcoin has evolved from a retail phenomenon to a macro asset that institutions can no longer afford to ignore. In this episode of Fund Shack, Ross Butler speaks with Matthew Hougan, CIO at Bitwise Asset Management, the firm behind the first crypto index fund and over $10B in assets.

A pioneer of ETFs and now a leader in crypto investing, Matthew explains why Bitcoin is becoming a core component of modern portfolios, how it compares to gold, and why it's poised to reshape global finance.

💼 From Retail to Institutional Adoption Bitcoin is no longer fringe. U.S. Bitcoin ETFs now manage $37B+, with institutional capital driving a third of inflows. Bitwise’s AUM has grown 10x in 18 months.

📈 Portfolio Construction: Bitcoin as an Alternative Asset Allocators are rethinking Bitcoin’s place, not tech, not equity, but an alternative. With low correlation, high returns, and now ETF access, 1–2% allocations are improving portfolio Sharpe ratios.

⚖️ Bitcoin vs. Gold... and Beyond Think of Bitcoin as programmable, portable, real-time gold. Its market cap is under $2T vs. gold’s $21T, highlighting significant upside for long-term believers in the “digital gold” thesis.

🌐 Bitcoin as Neutral Global Collateral In a fragmenting geopolitical world, Bitcoin may serve as a non-political, global settlement asset, used across borders, free from government control.

🧠 Finance on the Blockchain From instant loans to on-chain collateral, crypto markets offer faster, transparent alternatives to traditional finance. Hougan sees DeFi merging with TradFi, not replacing it, but upgrading it.

🗣 Advice for Financial Professionals Matthew’s call to action: experiment, learn, and get ahead. Just as ETFs reshaped investing, Bitcoin could reshape finance. Start small. Learn fast. Stay relevant.

--------------------------------------------

📩  Matthew Hougan, CIO of Bitwise Asset Management

Website: www.bitwiseinvestments.com

Twitter: @Matt_Hougan

Telegram: @pemetic

Linkedin: https://www.linkedin.com/in/matthew-hougan/

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 📞 Contact:  Fund Shack is a private equity podcast and digital media channel for alternative investment professionals

 📧 katie@linearb.media

Chapters

00:00 – Intro to Matt Hougan, Fund Shack & Bitcoin relevance

01:00 – Why Bitcoin is the ultimate alternative asset

02:00 – Institutions entering Bitcoin: Demand and momentum

03:43 – Institutional case for Bitcoin: High returns, low correlations

06:03 – The blockchain as digital property infrastructure

07:00 – Bitcoin as finance’s inevitable disruption

09:00 – Bitcoin vs banks: Infrastructure comparison

11:04 – Bitcoin’s challenge to traditional valuation logic

12:03 – How institutions are categorising Bitcoin

13:17 – Why Bitcoin has value: Digital service logic

14:21 – Bitcoin’s fair value and addressable market

15:25 – Bitcoin as global settlement currency

17:03 – State actors adopting Bitcoin

18:09 – Bitcoin's correlation to other assets

19:30 – Why institutions find Bitcoin compelling

20:12 – Institutional access: How Bitwise ETFs work

22:17 – ETF security, cold storage & custody

24:00 – ETF mechanism under stress: Arbitrage & NAV

26:03 – Future of Bitcoin and financialisation

27:56 – Lending, collateral, and credit in a Bitcoin world

29:34 – Bitcoin’s influence on dollar policy

31:06 – How Bitcoin changes capital markets

33:15 – Programmable money: A new finance model

34:52 – Advice for traditional finance professionals

35:59 – Deflationary risk: Lending in a bitcoinised system

37:05 – Real value vs rent-seeking in future finance

38:25 – Advice for young finance professionals

Episode #71: The Realities of Private Wealth in Private Markets

Guest: Cyril Demaria-Bengochea, Julius Bär

What happens when private equity pivots from institutional capital to private wealth? In this episode, Ross Butler speaks with Cyril Demaria-Bengochea, Head of Private Market Strategy at Julius Bär & one of the most respected thinkers in private markets. Cyril blends academic rigour with industry expertise, drawing on his work with Invest Europe, ILPA, & the European Commission.

Together, they explore the complex realities of opening private markets to individual investors, & why true democratisation may still be a long way off.

🏢 From Institutions to Individuals As institutional funding slows, fund managers are turning to private wealth, but it's not a simple swap. Cyril unpacks why $5M+ investors still struggle to access private equity meaningfully, & how portfolio construction must adapt to this fragmented investor base.

📊 Evergreen Funds & the Democratisation Myth Despite the buzz, evergreen vehicles still represent just 1–2% of AUM. Cyril explains why they are a tool, not a solution, & why true democratisation needs a more nuanced strategy.

⏳ Private Markets Are Three-Dimensional Long holding periods, illiquidity, & delayed returns create a "time complexity" most investors (& advisers) underestimate. Cyril emphasises that private markets require patience, planning, & portfolio redesign.

🔧 Fund Structures: Not One-Size-Fits-All Closed-end funds remain dominant, but evergreen & semi-liquid structures are gaining traction. Cyril foresees a future where fund structures are matched to investor objectives, not trends.

📉 Fundraising, Dealmaking & Dry Powder While fundraising has slowed, especially in VC, buyout strategies remain active, with managers deploying capital via smaller, lower-leverage deals focused on operational value. Dry powder is declining—suggesting a more disciplined cycle ahead.

💬 Rethinking Communication in Private Markets Cyril argues that better education & transparency are essential if private wealth is to participate meaningfully. The industry must do more to share value & demystify risk.

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#PrivateEquity #PrivateWealth #PrivateMarkets #EvergreenFunds #FundStructures #JuliusBaer #CyrilDemaria #FundShack #HighNetWorth #FinancialEducation #AlternativeInvestments #PrivateCapital #JuliusBär

Chapters00:00 Intro 00:06 At Julius Baer, Cyril’s background & credentials00:50 The rise of private wealth & democratisation01:53 Why private wealth is hard to access03:09 How much capital is actually coming from private clients05:03 Capital limitations & structuring challenges06:15 Is the demand real or manufactured08:27 The “third dimension” of private markets: time10:09 Why traditional tools don't fit private markets11:10 Fund structures: evergreen vs closed-end13:16 Complementarity of structures & the evolving toolbox14:03 What allocation size makes private markets worthwhile16:10 Going beyond 15–20% in private portfolios17:20 Why democratisation is complex and multi-dimensional18:00 Dispersion of returns & the role of fund structures20:54 Shakespeare & the early roots of private markets21:01 Market conditions as of Q1 202524:43 The effect of tighter leverage & lower risk27:01 How much of PE returns are driven by leverage29:01 Advice for young professionals entering private markets30:54 Why staying close to the industry matters32:35 The need for broader skillsets in private equity34:46 Why the human factor still dominates deals35:06 Can private markets be made ‘cool’36:43 How sharing value could shift perceptions39:11 Communication & transparency

Donald H. Chew, Jr., founding editor of the Journal of Applied Corporate Finance, joins Ross Butler on Fund Shack to discuss the evolution of corporate finance and its impact on national wealth. Based on his latest book, The Making of Modern Corporate Finance, Chew explores the shareholder revolution, Japan’s stagnation, China’s middle-income trap, and private equity’s role in reshaping global markets. A masterclass in corporate & financial governance, offering insights into how corporate finance fuels economic prosperity.

📉 The Shareholder Revolution & the 1980s Breakup of Conglomerates

🦬 Corporate America in the 1970s suffered from inefficiency, with large conglomerates prioritizing stability over investor returns. The 1980s shareholder revolution broke up these inefficient structures, restoring a focus on productivity and capital efficiency, in contrast to Japan’s stagnation.

🎌 Japan’s Corporate Governance Failure: For three decades, Japan’s economy has stagnated as corporate structures resist shareholder influence and fail to optimize capital allocation. The lack of investor control has slowed productivity and exacerbated demographic challenges, leading to economic decline.

🐉 China’s Middle-Income Trap & Market Manipulation: Chew argues that China’s financial system mimics American capitalism in appearance but lacks key investor protections. State-controlled enterprises dominate capital allocation, IPO markets are manipulated, and foreign investors face barriers, all of which prevent sustained long-term economic growth.

🏢 Private Equity as a Force for Good: Despite criticism, private equity and activist investors drive corporate efficiency by restructuring underperforming companies. By enforcing financial discipline, improving governance, and maximizing efficiency, PE has been a key driver of economic growth.

🌍 The Global Financial Crisis: A Political Incentive Problem: Rather than a failure of capitalism, the 2008 crisis was driven by government policies encouraging subprime lending. Political incentives distorted the housing market, leading to systemic financial risk that was amplified by European banks.

📈 The Future of Corporate Finance & National Prosperity: Chew emphasizes that corporate finance is the foundation of national wealth creation. The U.S. stock market serves as a leading indicator of economic productivity, outperforming global peers due to a dynamic, investor-driven corporate culture.

♻️ ESG: Enhancing Value or Distorting Priorities? The debate over ESG investing centers on whether it aligns with shareholder value or imposes politically driven constraints. Chew contrasts Milton Friedman’s shareholder primacy with Michael Jensen’s concept of enlightened shareholder value maximization, arguing that long-term profitability must remain central to corporate decision-making.

🔗 SUBSTACK

https://privateequitypodcastfundshack.substack.com/

👉 LinkedIn https://www.linkedin.com/company/fund-shack/

📧 Katie Mitchell: katie@linearb.media

CHAPTERS

00:00 Introduction to Donald H. Chew, Jr.

01:12 Transformation of American corporate finance

02:39 How investors reshaped corporate governance

04:39 Japan problem: Why investor control matters

07:09 Volkswagen vs. GM: Corporate governance case study

09:56 Japan’s ‘30-year slumber’ and the role of shareholder activism

12:29 China’s middle-income trap

14:56 The illusion of Chinese economic success

21:04 The real cause of the Global Financial Crisis

27:02 The dangers of bad financial metrics

32:00 The rise and fall of EVA

39:05 The overlooked role of PE in shaping corporate governance

45:02 Michael Milken and the rise of private credit

52:05 Best indicator of real productivity

55:00 New key metric for company success

1:00:02 Why Milton Friedman was right about profit

1:05:00 Is America heading for recession?

Raja Hadji-Touma, Partner at Corsair Capital and Head of European Buyouts, discusses Corsair's focus on asset-light businesses in financial services, technology, and business services. He explains Corsair's thematic approach to identifying trends and opportunities, emphasizing hands-on value creation, digitization, and scaling businesses through operational and strategic improvements.

Insights Specialization and Evolution Corsair Capital, originally part of JP Morgan, began as a solution to recapitalize troubled financial institutions after the U.S. Savings and Loan crisis. Over time, the firm shifted focus from capital-intensive businesses to asset-light services and technology within the financial services ecosystem. This evolution allows Corsair to focus on operational efficiency and scalable growth, targeting sectors like insurance distribution, fund administration, and B2B payments.

Value Creation and Hands-On Approach Corsair prioritizes active value creation by establishing clear 100-day and long-term strategic plans with management teams. Their approach involves operational improvements, talent development, and technology enhancements. With a focus on institutionalizing businesses, Corsair utilizes operating partners to assess organizational needs, streamline go-to-market strategies, and execute M&A strategies for growth.

Market Trends and Opportunities The firm targets fragmented markets, especially within insurance distribution and B2B payments, leveraging consolidation opportunities to scale businesses. Raja highlights the impact of AI and automation as key trends driving efficiency and new investment avenues. Corsair also sees regulatory requirements as growth catalysts, creating demand for compliance-related services and technologies.

Sector Focus: Building Platforms in Niche Markets Corsair focuses on mid-sized businesses with EBITDA between $5-20 million, scaling them to $50-70 million through buy-and-build strategies. The firm emphasizes recurring revenue models, high cash flow conversion, and resilience against economic cycles. Their thematic approach allows them to identify promising sectors and proactively source deals, often in bilateral settings.

Outlook and Strategic Growth: Despite slower deal flow in 2024, Corsair remains optimistic about the next six to nine months as private equity adjusts to market conditions. With strong sector tailwinds, such as digital transformation and regulatory compliance, Corsair continues to back businesses positioned for long-term value creation and consolidation opportunities.

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

Fund Shack is produced by Linear B Group. ⁠Linear B Group

Flor Kassai, Managing Partner and Head of Buyout at Inflexion, joins Ross Butler to discuss European mid-market private equity, talent, origination and repeatable value creation.

Flor argues that private equity is more of a talent business than an investment business. In her view, getting the right management team into a company is the central variable in whether a deal can scale, adapt and create value.

This episode explores how Inflexion thinks about dealmaking in 2026, including the importance of pricing power, margin quality, sub-sector expertise and repeatable playbooks. Flor explains how Inflexion has built depth in areas such as testing, inspection, certification and compliance, veterinary roll-ups, fund administration, corporate services, skincare, wealth management and even darts.

The discussion also covers direct origination in the European mid-market. Flor explains why trust is built over years, not meetings, and why local presence still matters in a world increasingly shaped by AI and data-led sourcing. The conversation includes Inflexion’s relationship with Easyfairs founder Eric Everard, its expansion beyond the UK into Benelux, the Nordics and DACH, and its use of continuation funds to extend ownership of high-quality assets.

Also discussed:

• Why 2026 is a tricky but attractive environment for disciplined private equity investors
• How Inflexion repeats sub-sector playbooks across strategies and geographies
• Why management teams and talent are central to private equity value creation
• How direct origination works in founder-led and relationship-driven markets
• When buy-and-build works, and when organic growth is the better answer
• Why continuation funds can be a good structure when the next phase of value creation is clear
• What Nodor reveals about finding value in unexpected mid-market niches
• Flor’s career journey from Argentina to JP Morgan, Wharton, Bain, Hg and Inflexion

Watch the full episode and explore more private markets insights at Fund Shack.

🔹🔹🔹🔹🔹🔹

About our guest

Flor Kassai is Managing Partner and Head of Buyout at Inflexion. She leads Inflexion’s buyout strategy and has been closely involved in the firm’s growth across the UK and Northern Europe.

🔗https://www.linkedin.com/in/florencia-kassai-a711b2/

🌐 https://www.inflexion.com/people/flor-kassai/

🔹🔹🔹🔹🔹🔹

About our host

Ross Butler

🔗 CONNECT on LinkedIn https://www.linkedin.com/in/rossbutler1/

🌐 www.fund-shack.com

📘 Order Ross Butler’s book: Invest Like a Barbarian: Share in the spoils of the Private Markets revolution

♾️ http://q-r.to/Invest-Like-A-Barbarian

#investlikeabarbarian

🔹🔹🔹🔹🔹🔹

🏢 Private Markets Capability – 5-Minute Assessment

Private markets are moving into the adviser channel faster than most firms are building real capability. This short diagnostic looks at how consistently your team can explain, challenge and navigate private markets in client conversations.

In less than 5 minutes, you’ll see: Where your capability is strong Where it varies across individuals Where your firm may be exposed as the market evolves

No preparation required. Instant score and clear next step.

👉 Take the assessment: https://private-markets-capability-assessment.scoreapp.com/

🔹🔹🔹🔹🔹🔹

Arjun Raghavan, CEO of Partners Capital is the man private equity executives trust with their money. And not just them. Partners Capital has evolved from managing private equity executives’ wealth to overseeing $60 billion for smaller endowments, family offices, and foundations globally.

In this conversation, Arjun speaks to Ross Butler about the firm's "Advanced Endowment Approach", emphasizing diversification, resilience, and early-stage access to niche opportunities. 

Origins and GrowthPartners Capital was founded in 2001 to offer investment management services inspired by the endowment model. Initially focused on private equity partners, the firm expanded to serve smaller institutional clients and family offices. Under Arjun’s leadership, the firm scaled operations globally, now managing $60 billion across Europe, Asia, and the US.

Twin-Engine Investment PhilosophyCentral to Partners Capital’s strategy is the twin-engine model. The beta engine focuses on cost-efficient diversification across traditional and alternative asset classes. Meanwhile, the alpha engine targets illiquid, high-return opportunities, providing both resilience and enhanced returns. Together, these engines ensure robust portfolio performance through cycles.

Adapting to Market DynamicsIn a challenging market environment marked by concentrated gains in public equities and the saturation of alternatives, Partners Capital remains agile. It prioritises resilience through true diversification, embracing strategies like private debt, venture capital, and specialist asset management. 

#PrivateEquityPodcast #AdvancedEndowmentApproach #PartnersCapital #PrivateEquity #Diversification #FamilyOffices #EndowmentModel #AlternativeInvestments #FundShackPodcast #ArjunRaghavan

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

Fund Shack is produced by Linear B Group. ⁠Linear B Group

Ross Butler speaks with Edward Talmor-Gera, Founder and CEO of NewVest, and Matthew Chapman, Director at NewVest. NewVest is a pioneering company providing low-cost, diversified index funds for private equity, private debt, and other private market strategies — revolutionizing how investors access private markets. Insights: Why Passive Investing in Private Markets is Revolutionary Edward explains how indexing challenges traditional notions about private equity by providing diversified exposure to the market’s average return, which has consistently outperformed the median. He reveals that 70% of private equity funds in any vintage year underperform the pooled average, making an index approach both efficient and attractive. Debunking Myths About Private Equity Performance Edward and Matthew address a common myth: that trying to select top-performing funds is the only way to succeed in private equity. They share data proving that relative performance persistence among fund managers is statistically limited, making an index strategy a reliable alternative. NewVest’s Unique Approach Fund Structure: NewVest employs a no-management-fee structure, charging only a low carry. 

Access to Top Funds: NewVest invests in the 50 largest private equity and private debt funds each year, gaining near-complete access to the top players in the industry, including Blackstone, KKR, and Carlyle.

Diversification and Cost Efficiency: By weighting investments according to target fund sizes, NewVest offers exposure to the asset class while drastically reducing fees and risk compared to active fund selection.

The Evolution of Private Markets Investing Matthew emphasizes how passive instruments complement active strategies, allowing investors to focus on areas where they can achieve true alpha while leveraging the stability of an index for broader diversification.

Future Plans and the Vision for Private Markets NewVest envisions a future where passive investing in private markets is as ubiquitous as it is in public markets. They aim to introduce sector-specific and niche indices, such as clean tech or geographic-focused products, and even indices for first-time funds.

Aligning Interests and Democratizing Access Edward shares how NewVest’s alignment with LPs and innovative approach is attracting institutions, family offices, and even individual investors. 

Like this content? Please support us

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

Fund Shack is produced by Linear B Group. ⁠Linear B Group⁠

Ross Butler speaks with David Whileman, Partner at Inflexion Private Equity, about the untapped potential of minority private equity investments. David shares how minority investing provides entrepreneurs with the resources to scale without selling their businesses.

The conversation explores the fund’s strategy, its impact on portfolio companies, and the competitive advantages of minority investments in addressing a vast market underserved by traditional private equity.

The Untapped Potential of Minority Investments:David explains how minority investing offers private equity benefits without requiring businesses to sell outright. This approach opens private equity to 75% of companies that are not typically for sale, particularly family-owned or entrepreneur-led businesses.

Inflexion's Partnership Capital Fund Performance:Since launching in 2015, the fund has raised £1.75 billion, completed 24 investments, and exited nine, including several that achieved exceptional growth. David emphasizes the fund’s ability to serve as the first institutional investor for established companies averaging £350 million in value.

Building Trusted Relationships:Key to minority investing is fostering trust and alignment with entrepreneurs. David highlights how Partnership Capital avoids prescriptive exit strategies, allowing for collaborative decisions that benefit both investors and business owners.

Expanding Globally and Corporate Partnerships:Inflexion has extended its reach across Europe and recently into corporate partnerships, where it supports divisions of large corporations seeking independence while maintaining alignment with their parent companies.

Value Creation Beyond Capital:Inflexion delivers more than funding, offering expertise in talent management, technology adoption, pricing strategies, and global expansion. Its offices worldwide provide portfolio companies with the tools to enter new markets and scale effectively.

Cultural Fit and Talent Recruitment:David underlines the importance of hiring professionals with emotional intelligence and entrepreneurial mindsets. He describes Inflexion’s team as diverse and collaborative, ensuring alignment with the needs of entrepreneurs.

RW Blears: Our sponsor for this episode is RW Blears, a UK law firm specialising in fund management. If you are a UK venture capital manager or growth investor and need a trusted legal adviser, visit https://blears.com/

#PrivateEquity #MinorityInvesting #PartnershipCapital #InflexionPrivateEquity #Entrepreneurship #BusinessGrowth #PrivateEquityPodcast #DavidWhileman #FundShack #AlternativeInvestments #CollaborativeInvesting #PrivateEquityInsights #RossButler

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

Fund Shack is produced by Linear B Group. ⁠Linear B Group⁠

In this episode of Fund Shack, Ross Butler speaks with Colm Walsh, Managing Director of ICG Enterprise Trust. ICG Enterprise Trust is a listed private equity investor managed by ICG, a global alternative asset manager. Colm shares insights on ICG’s investment strategies, including their focus on buyouts, the benefit of being part of ICG’s extensive platform, and the importance of experienced managers in achieving consistent returns. They also discuss the unique advantages of the investment trust structure for private equity and Colm’s perspective on the evolving private equity landscape. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode, Ross Butler talks to Karen Sands, COO of Federated Hermes’ private equity division, where she oversees $20 billion in private market assets as part of a larger $770 billion AUM. Karen provides insight into Federated Hermes' shift into private markets, their strategic focus on ESG, and her role in managing operations. They explore the importance of scalable infrastructure, the evolving investor landscape, and the operational challenges faced by private equity firms today. Learn more about your ad choices. Visit megaphone.fm/adchoices

How Partners Group is cracking the DC pension market in the UK, with Joanna Asfour

Founded in mid-1990s, Partners Group launched its first vehicle accessible to individual investors in the early naughties. Today it is at the frontline of the democratisation of private equity.

In this episode, Ross Butler speaks to Joanna Asfour, the firm’s global head of consultant relations, to discuss how private equity can help DC pensioners in the UK access private markets.

We look particularly at the benefits that private markets exposure can bring to a pension fund, as well as some of the complexities around the management of such less liquid investments. We al LTAFs, the UK equivalent of ELTIFs and the various nuances of providing relatively simple access to the asset class for DC pension trustees.

Top insight
The UK DC market will be worth about a trillion by 2030. It’s a £100bn opportunity for private markets. There’s been sub-£5bn invested so far.
i.e. This is going to be big!

Historical Context and Current Position
Partners Group has been a pioneer in making private markets accessible to individual investors since the early 2000s. The firm currently manages around 150 billion euros in assets, with private wealth being a rapidly growing segment.

Democratization of Private Markets
The term democratization refers to broadening access beyond institutional investors to include individuals, such as DC pension scheme members and wealth management clients.
This trend is seen as mutualization, akin to what mutual funds did for public markets.

Regulatory and Operational Challenges
The key challenge has been the regulatory and operational barriers that limit DC pension schemes from investing in private markets.
The introduction of the Long-Term Asset Fund (LTAF) by the FCA has been crucial in providing a UK-authorized fund structure suitable for DC schemes.

LTAF as a Solution:
LTAFs are designed to meet the specific needs of DC pension schemes, allowing them to blend private markets into their default fund arrangements.
This structure addresses both regulatory requirements and the operational demands of life insurance platforms that manage many DC pension schemes.

Implementation Considerations:
Trustees need to consider where in the pension lifecycle private market allocations are most appropriate, particularly focusing on the growth accumulation phase.
There is a need to balance liquidity management and stress test the potential impact of including private markets in DC schemes.

Performance and Valuation:
Performance fees and daily valuations are critical aspects that need to be managed to ensure fair treatment of all investors in an evergreen fund format.
Partners Group has developed robust systems to handle daily valuations and liquidity management, drawing on their long experience with similar fund structures.

#privateequity #democratisation #fundraising #privatewealth #privatemarkets #LTAFs #alternativeassets

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

Fund Shack is produced by Linear B Group. ⁠Linear B Group⁠

 

Jim Strang, serial private equity NXD and chairman of Hg Capital Trust, discusses the complexities of the private equity landscape on the Fund Shack podcast. Fundraising and Market Dynamics: Market Polarization: Large platforms and top-performing specialists continue to raise significant capital, while mid-sized players face extended fundraising cycles. Liquidity Challenges: Investors are managing overexposure from the 2021 boom, causing liquidity issues across different regions. GP Strategy and Growth: Clear Ambitions: GPs focus on defining clear ambitions and achieving team alignment. Strategic Growth: Balancing ambition with operational capacity, strategies range from maintaining a single focus to expanding into adjacent areas through M&A. Wealth Market and Semi-Liquid Structures: Growing Market: Wealth market growth through semi-liquid structures designed for high-net-worth individuals. NAV-Based Exposure: These structures offer accessible entry points for private market investments, requiring careful liquidity management. ESG and Cybersecurity: Central to Strategy: ESG considerations driven by investor demand and talent acquisition needs. Top Risk: Cybersecurity remains a top risk, with firms prioritizing mitigation measures to protect portfolios. ********************** Thank you to our episode partner Quest Fund Placement. The firm recently launched QuestInvest, the digital hub and gateway to alternative assets that connects accredited investors with leading GPs. For more information, please visit https://www.questfundplacement.com/ ********************** #privateequity #fundraising #wealthmanagement #esg #cybersecurity #privatemarkets #capitalmarkets #alternativeassets ********************** Follow Fund Shack on Your Preferred Platform: Youtube: https://www.youtube.com/channel/UC1mUUrcRDi-dWnC4Lmn1rnw?sub_confirmation=1 🔗 LinkedIn: Subscribe on LinkedIn https://www.linkedin.com/build-relation/newsletter-follow?entityUrn=7159157815326949376 Learn more about your ad choices. Visit megaphone.fm/adchoices

Sunaina Sinha, Global Head of Private Capital Advisory at Raymond James, talks to Ross Butler about the challenges of raising private capital funds in today's market. This episode is supported by Datasite, the leading M&A platform for dealmakers. https://www.datasite.com/en Fundraising cycles have extended to 22-23 months on average, reflecting the challenging environment. Firms must offer co-investments, fee discounts, and management fee holidays to attract investors. The tenor of fundraising conversations has shifted, with private equity firms needing to provide various incentives to secure commitments. We cover dry powder, the rise of co-investments, and the influence of Middle Eastern and private wealth in the market. 2023 was marked by significant challenges due to a liquidity squeeze and reduced exit activities.  This environment has been tough for institutional limited partners, leading to a shift in investment metrics. (i.e. DPI is the new IRR) Rise of Co-Investments How investors are leveraging their power to demand fee-free co-investments. Sector Focus: Private Credit and Infrastructure Private credit is booming due to bank pullbacks and high-interest rates, while infrastructure investments are attractive due to their tangible nature and inflation resistance.  Thank you to our episode partner Datasite, the leading M&A platform for dealmakers. For more information, visit: www.datasite.com #wheredealsaremade #PrivateEquity #privatecapital #alternativeinvestments #Fundraising #RaymondJames #InvestmentTrends #DPI #CoInvestments #PrivateCredit #Infrastructure Learn more about your ad choices. Visit megaphone.fm/adchoices

Ross Butler hosts Patrick Turner, Managing Director at VSS Capital Partners, a US-based lower mid-market private equity firm founded in 1981, originally named Veronis Suhler Stevenson. Patrick joined VSS in 2014, bringing a wealth of experience from his extensive career in leveraged buyouts in the US, and private equity in China. VSS focuses on the US lower mid-market, specifically targeting three verticals: education, healthcare, and outsourced business services with a technology angle. VSS’s approach to structured capital, which includes debt, preferred equity, and equity, tailored to the needs of founders looking to grow their businesses without giving up control. This strategy allows VSS to be competitive and less dilutive compared to traditional growth capital. KEY HIGHLIGHTS: VSS focuses on the US lower mid-market, specifically targeting three verticals: education, healthcare, and outsourced business services with a technology angle. VSS’s approach to structured capital, which includes debt, preferred equity, and equity, tailored to the needs of founders looking to grow their businesses without giving up control. This strategy allows VSS to be competitive and less dilutive compared to traditional growth capital. FOLLOW FUND SHACK ON Spotify and you can also find us here: LinkedIn Watch on YouTube #privateequity #venturecapital #MidMarket #StructuredCapital #privatecredit #leveragedbuyouts #growthcapital #BusinessServices #HealthcareInvestment #EducationInvestment #TechInvestment #AlternativeInvestments #podcast Fund Shack is a private equity podcast and global media channel for alternative investment professionals. Fund Shack is produced by Linear B Group and if you are interested in appearing on the show, wish to propose a client, or are interested in sponsorship, contact: Katie Mitchell katie@linearb.media Linear B Group Learn more about your ad choices. Visit megaphone.fm/adchoices

Fatou Diagne is co-founder of Bootstrap Europe, which acquired the German portfolio of Silicon Valley Bank in 2023. She provides a fascinating insight into the elite world of lending to the top tier of venture-backed businesses. Venture debt might not have the brand-pizazz of its equity cousin, but from a risk/return perspective it ticks all the boxes. ****** This episode also features our supporters, RW Blears, a UK law firm specialising in fund management. If you are a UK venture capital manager or growth investor and need a trusted legal adviser visit RW Blears ****** Ross Butler interviews Fatou Diagne, co-founder of Bootstrap Europe. Fatou offers a compelling look into the world of venture debt, focusing on its role in funding high-growth technology businesses and its strategic advantages compared to traditional equity financing. Introduction to Venture Debt: Fatou Diagne explains that Bootstrap Europe provides debt funding to technology companies that have already received substantial equity investment. These companies are usually 5 to 7 years old, generating revenues of 5 to 20 million euros, and are backed by top-tier venture capital funds. Target Companies: Bootstrap Europe targets mature technology companies that have a proven growth formula but prefer not to dilute their equity further. The firm focuses on sectors like semiconductors, life sciences, and energy transition, seeking to support technologies that can significantly impact society. Venture Debt is way cooler than you think! Fatou clarifies that venture debt is often misunderstood. It is not a last resort for companies that cannot raise equity; instead, it is a strategic choice for well-capitalized companies looking to accelerate growth without further dilution. Deal Flow and Timing: Bootstrap Europe follows potential investment opportunities for several years, waiting for the right inflection point to provide growth debt. The firm typically invests after one or two rounds of equity funding, although this can vary. Benefits for Companies: The main advantage for companies using venture debt is the avoidance of dilution. Founders and early-stage investors can maintain larger stakes in the company, enhancing their returns upon exit. Terms of Venture Debt: The terms are transparent, with interest rates typically around 8-10% over the base rate. The debt is repaid over 3-4 years, with monthly payments of interest and principal. Bootstrap Europe’s Approach: The firm emphasizes a strong relationship with portfolio companies, focusing on providing support during both good and challenging times. They prefer to work closely with management teams to navigate growth and financing challenges. Acquisition of Silicon Valley Bank's German Portfolio: In 2023, Bootstrap Europe acquired the German portfolio of SVB. Fatou discusses the strategic and operational steps taken to complete this acquisition, emphasizing the importance of speed and expertise. Current Market Conditions: Fatou comments on the impact of global economic challenges on the tech sector, noting that while the market has cooled, there are still many high-quality investment opportunities. She highlights the importance of well-capitalized companies that can navigate difficult conditions to gain market share. Future Growth & Challenges: The discussion touches on the growth potential of venture debt in Europe and the challenges of increasing market penetration. Fatou believes that with more education and understanding, venture debt can become a more prominent part of the funding landscape. ******  #venturecapital #privateequity #techfunding #growthcapital #venturedept #debtfinancing #innovationtechnology #techinvesting #podcast #BusinessPodcast #FinancePodcast #Entrepreneurship ****** Fund Shack is produced by Linear B Group and if you are interested in appearing on the show, wish to propose a client, or are interested in sponsorship, contact: katie@linearb.media Linear B Group Learn more about your ad choices. Visit megaphone.fm/adchoices

Private markets look stable… until they don’t.

NAVs move slowly. Returns look smooth. Volatility appears contained.
But none of that is tested until an investor actually tries to sell.

That’s where secondaries come in.

The secondaries market is where private markets lose their narrative and face reality.
It’s where valuation becomes negotiation.

Where liquidity becomes optional.

And where the difference between price and value stops being theoretical.

In this conversation, Nigel Dawn, Global Head of Private Capital Advisory at Evercore, breaks down how secondaries have quietly become one of the most important forces shaping private markets today.

If you want to understand private markets properly, this is where you start.

What is the secondaries market in private equity?

The secondaries market allows investors to buy and sell existing private market assets, including fund interests and company stakes, providing liquidity in an otherwise illiquid asset class.

Why does the secondaries market matter?

It is the point where private market valuations (NAVs) are tested against real transaction prices, making it critical for price discovery, portfolio management and liquidity.

What are continuation vehicles?

Continuation vehicles are structures that allow private equity managers to hold high-quality assets for longer while offering liquidity to existing investors and bringing in new capital.

How large is the secondaries market?

Despite rapid growth, it remains small at roughly 2% of total private markets NAV, suggesting significant room for expansion.

What is the outlook for secondaries?

Growth is expected to accelerate, particularly in private credit secondaries, driven by demand for liquidity, portfolio management and new investor access.

What’s covered

• Why secondaries are the true pricing mechanism in private markets
• The shift from stigma to strategic portfolio management
• How continuation vehicles actually work (and why they’re misunderstood)
• The difference between NAV and executable price
• How conflicts are managed in GP-led transactions
• The rise of private wealth capital in secondaries
• Why private credit secondaries are the next major growth area

Chapters

00:00 Secondaries: where private markets meet reality
01:26 What the media gets wrong about private markets
03:00 From stigma to strategy, evolution of secondaries
06:13 Why the market is still only ~2% of NAV
07:45 Continuation vehicles explained
10:30 Not “kicking the can” what’s really happening
15:53 Conflicts, ILPA and investor protection
19:28 How pricing works (NAV vs price)
22:03 Retail capital and evergreen structures
30:37 Liquidity solutions (NAV lending, strip sales, etc.)
32:14 Private credit secondaries, next wave
38:04 Has private markets lost its partnership model?

Secondaries are no longer a niche.

They are becoming the operating system of private markets liquidity, enabling:

• Active portfolio management
• Real price discovery
• Capital recycling at scale

🔹🔹🔹🔹🔹🔹

Nigel Dawn is Global Head of Private Capital Advisory at Evercore.

He advises institutional investors, sovereign wealth funds and private equity firms on secondaries transactions globally.

🔗 https://www.linkedin.com/in/nigel-dawn-9aa121/

🌐https://www.evercore.com/who-we-are/overview/

🔹🔹🔹🔹🔹🔹

Ross Butler

Private Markets Capability – 5-Minute Assessment

Private markets are moving into the adviser channel faster than most firms are building real capability.

This short diagnostic looks at how consistently your team can explain, challenge and navigate private markets in client conversations.

In less than 5 minutes, you’ll see:

• Where your capability is strong
• Where it varies across individuals
• Where your firm may be exposed as the market evolves

No preparation required. Instant score and clear next step.

👉 Take the assessment:

https://private-markets-capability-assessment.scoreapp.com/

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Mike Smeed is managing director of InMotion Ventures, the corporate venturing arm of Jaguar Land Rover. In this episode of the Fund Shack podcast, he speaks to Ross Butler about what the company looks for in start-up candidates and the rapidly evolving nature of corporate venture capital. Mike the Managing Director of InMotion Ventures, the corporate venture capital (CVC) arm of Jaguar Land Rover (JLR). Mike discusses his career background, including roles at a Shanghai-based joint venture and Walgreen Boots, and delves into the unique aspects of CVC compared to traditional venture capital (VC). Key Points: Corporate Venture Capital (CVC) vs. Venture Capital (VC): Similarities: CVC and VC both perform due diligence, focus on valuation and metrics, and aim for strategic investments. Differences: Historically, CVCs were viewed skeptically due to fears of corporate overreach. Modern CVCs have adopted VC professionalism and often invest off their parent companies’ balance sheets, with some even taking external capital. Role of InMotion Ventures: Strategic Focus: InMotion Ventures aims to accelerate innovation and support JLR’s strategic transformation, especially in areas like climate, industrial, and enterprise technologies. Investment Approach: Unlike many CVCs, InMotion invests in early-stage startups (seed to Series A) to add significant value to both JLR and the startups. CVC Evolution: Professionalization: Many CVCs now operate with the same rigor as traditional VCs, including thorough background checks and strategic valuations. Integration with Parent Companies: CVC leaders often come from within the parent company, blending corporate insight with investment acumen. Strategic Mandate: Innovation and Collaboration: InMotion Ventures aims to help JLR achieve carbon neutrality by 2039 and focuses on technologies critical to this transformation. Partnerships: The firm prefers co-investing and does not lead funding rounds, maintaining about a 5% equity stake to ensure active involvement without overwhelming influence. Investment Justifications: Ecosystem Access: Being an active investor attracts other investors and startups, facilitating ecosystem engagement. Innovation and Speed: Investing in startups accelerates innovation and market readiness, providing JLR with early access to cutting-edge technologies. Capital Efficiency: Strategic investments leverage larger rounds by financial VCs, maximizing impact with relatively small contributions. Success Stories and Examples: Investments: Mike discusses successful investments, such as in companies developing head-up displays and augmented reality technologies. Collaboration with Competitors: InMotion Ventures collaborates with other automotive giants like Volvo and BMW to co-invest in promising technologies. Value to Startups: Strategic Support: Startups benefit from JLR’s extensive resources, including engineering expertise and testing facilities. Mutual Benefits: While InMotion seeks financial returns, the primary goal is strategic alignment with JLR’s broader goals. Conclusion: The interview highlights the evolving landscape of CVC, emphasizing strategic partnerships, professional investment practices, and the mutual benefits of fostering innovation within large corporate structures. Mike underscores the importance of balancing financial returns with strategic goals to drive both corporate growth and startup success. #Innovation #Technology #DigitalTransformation #VentureCapital #Startups #Entrepreneurship #CorporateVenture #AutomotiveIndustry #Sustainability #FutureOfMobility #BusinessGrowth #EmergingTechnologies #Industry40 #TechInvestments Learn more about your ad choices. Visit megaphone.fm/adchoices

Foresight Group was a pioneer in renewable energy investment back in the 1990s. Today, it's a diversified investment group listed in London. Its founder and chairman, Bernard Fairman, talks about its expansion into global infrastructure, why he favours hydrogen over electric, and his plans to build out the firm's UK venture investment arm into an international-regional growth equity franchise. Learn more about your ad choices. Visit megaphone.fm/adchoices

MidEuropa pioneered private equity buyout investing in Central Europe, launching in 1999. Robert Knorr has been a partner since 2007. He was recently awarded Private Equity Mid Market Leader of the Year at the Real Deals private equity awards for his pivotal role in investment in the region. In this podcast he talks to Ross Butler about opportunities from Poland to the Med, and a very big win in Romania with Profi. Fund Shack: https://fund-shack.com/ Mid Europa: https://mideuropa.com/ Follow Fund Shack on Your Preferred Platform: LinkedIn: Fund Shack LinkedIn Spotify: Fund Shack on Spotify Apple Podcasts: Fund Shack on Apple Podcasts YouTube: Fund Shack on YouTube Google Podcasts: Fund Shack on Google Podcasts Amazon Music: Fund Shack on Amazon Music Audible: Fund Shack on Audible PlayerFM: Fund Shack on PlayerFM ://player.fm/series/3477169 In this episode of the Fund Shack podcast, Ross Butler interviews Robert Knorr, Managing Partner at MidEuropa, to explore the firm’s pioneering role in private equity investment across Central Europe. MidEuropa, established in 1999, has become a key player in the region, transitioning from venture capital to buyout funds. The discussion highlights their strategic focus on sectors such as consumer goods, healthcare, and technology, emphasizing the importance of sustainability and digitalization in their investment strategies. Highlights: 1) Private Equity and Buyout Funds: MidEuropa has been instrumental in shaping the private equity landscape in Central Europe. Their transition from venture capital to buyout funds has been a strategic move to capitalize on the region’s economic development and emerging markets. 2) Investment and Economic Development: The firm’s investments have significantly contributed to the economic transition and development of Central European countries, integrating them into the broader European Union market. 3) Sector Focus: MidEuropa targets consumer goods, healthcare, and technology sectors, areas that offer high growth potential and align with their strategic investment goals. Sustainability and Digitalization: Emphasizing sustainability, MidEuropa promotes energy transition and sustainable practices. They also leverage digitalization to enhance business services and operations. 4) Corporate Carve-Outs and Cross-Border Investments: The firm has successfully executed corporate carve-outs and cross-border investments, demonstrating their expertise in managing complex mergers and acquisitions (M&A). 5) Nearshoring: Leveraging the talent pool in Central Europe, MidEuropa facilitates nearshoring of services, providing cost-effective and high-quality business services. 6) Financial Returns and Investor Relations: The episode details MidEuropa’s approach to delivering strong financial returns and maintaining robust investor relations. #privateequity #investment #centraleurope #sustainableinvestment #emergingmarkets #businessgrowth #economicdevelopment #venturecapital #digitaltransformation #infrastructure #telecom #consumergoods #HealthcareInvesting #poland #techinvestments Learn more about your ad choices. Visit megaphone.fm/adchoices

Fund Shack Podcast Featuring Etienne Deshormes of Elm Capital In this engaging episode of the Fund Shack podcast, 🎙️ Ross Butler interviews Etienne Deshormes, CEO of Elm Capital, to delve into the intricacies of the private equity secondary market. Elm Capital, founded in 2004 by Etienne after his career in investment banking at JP Morgan, specializes in providing liquidity to private market investors. Fund Shack: https://fund-shack.com/ Elm Capital: https://www.elmcapital.com/ Key Points Discussed: Private Equity Secondaries: Etienne Deshormes explains how the secondary market provides liquidity to an inherently illiquid sector. He outlines the development of the market from its early days in the 2000s when it was discreet and associated with distress sales, to its current, more accepted status. Global Financial Crisis Impact: The 2008 financial crisis was a turning point for the secondary market. Etienne highlights how the crisis forced many LPs to seek liquidity solutions, leading to a surge in secondary transactions. This period marked the only time in his career when assets were sold at a 100% discount, underscoring the desperation for liquidity. Liquidity Solutions: The discussion includes how the secondary market has evolved as a strategic tool for managing portfolios, not just in distress situations. Etienne notes the rise in the use of secondary transactions to handle overexposure and liquidity issues exacerbated by recent economic challenges such as inflation and rising interest rates. Current Market Dynamics: Etienne describes the current market conditions, emphasizing the impact of the denominator effect and rising interest rates on private equity portfolios. He explains how these factors have increased the need for secondary transactions as a liquidity solution. Denominator Effect: The podcast covers the impact of the denominator effect, where declines in public market values cause private equity allocations to exceed target levels, forcing LPs to sell stakes to rebalance their portfolios. Continuation Funds: Detailed insights are provided into continuation funds, which allow GPs to manage assets beyond the typical fund life by selling them to new vehicles backed by secondary investors. Etienne discusses the evolution of continuation funds from being a last resort to a strategic option for managing high-quality assets and mature portfolios. Investor Strategies: The podcast delves into how LPs and GPs navigate the secondary market to optimize their portfolios. Etienne discusses different strategies, such as selling single fund interests or entire portfolios, and the factors influencing these decisions. Market Pricing and Discounts: Etienne explains how secondary market pricing works, particularly during downturns when discounts can be steep. He provides examples from 2022, where buyout funds were trading at significant discounts due to market conditions. Role of Elm Capital: Elm Capital’s role in the secondary market is highlighted, including how they assist clients in finding buyers or sellers for secondary transactions. Etienne describes their integrated approach to serving both primary and secondary market needs. Future Outlook: Etienne shares his outlook for the secondary market in 2024, predicting increased deal flow and a gradual recovery in pricing as public markets stabilize. He also discusses the long-term potential for the secondary market to become more mainstream as more investors recognize its strategic value. Follow on Your Preferred Platform: LinkedIn: Fund Shack LinkedIn Spotify: Fund Shack on Spotify Apple Podcasts: Fund Shack on Apple Podcasts YouTube: Fund Shack on YouTube Google Podcasts: Fund Shack on Google Podcasts #PrivateEquity #SecondaryMarket #LiquiditySolutions #PrivateMarkets #InvestmentBanking #DenominatorEffect #ContinuationFunds #InvestmentStrategies #Fundraising #Podcast #BusinessPodcast #FinancePodcast #Entrepreneurship #ThoughtLeadership Learn more about your ad choices. Visit megaphone.fm/adchoices

With a deal drought across the global private equity industry, we talk to Chris Field of global law firm Dechert about what's next for M&A and buyout deal flow for 2024. We discuss valuations and defensive deal structures as vendors and buyers find ways to come together. Top quote: "I have never worked on an earn-out, ever, that has not resulted in some form of dispute.'" In this Fund Shack podcast with Ross Butler, Chris reveals what it takes to make it as a top private equity lawyer.  In this engaging episode of the Fund Shack podcast, 🎙️ Ross Butler interviews Chris Field, a partner at the global law firm Dechert, to discuss the current state of international private equity markets and the intricacies of private equity lawyering. Key Points Discussed: Market Sentiment and Interest Rates: Chris Field highlights the fluctuating sentiment in the private equity market, noting the anticipation of rate cuts and their potential impact on deal-making. He explains how interest rates have become the biggest challenge for private equity firms, affecting deal volume and value. Deal Volume and Value: Despite a significant drop in deal volume and value over the past year, 2023 outperformed 2019 levels. Chris explains this apparent paradox, attributing it to the short-term memory of market participants and the exceptionally high activity levels in 2021 and early 2022. Fundraising Trends: Chris discusses the bifurcation in the fundraising market, with capital being concentrated in large multi-strategy managers at the expense of smaller and newer funds. This trend is influencing the strategic decisions of private equity firms. GP Stake Sales: A significant portion of private equity firms are considering selling stakes in their own businesses. Chris outlines various motivations behind these sales, including succession planning, liquidity injection, and bringing in external expertise to enhance the firm’s capabilities. Valuation Gap and Deal Structures: The podcast explores the creative deal structures being employed to bridge the valuation gap between buyers and sellers. Chris highlights the increased use of deferred consideration mechanics, such as earnouts and vendor loan notes, to align the interests of both parties. Regulatory Environment: Chris delves into the evolving regulatory landscape, focusing on antitrust scrutiny and foreign direct investment regulations. He explains how these factors are shaping deal-making strategies and the need for private equity firms to navigate complex regulatory requirements. Private Equity Innovation: The discussion covers innovative liquidity solutions in the private equity space, including the rise of NAV facilities, collateralized fund obligations, and GP-led secondaries. These innovations are helping firms return liquidity to investors despite challenging market conditions. Technological Impact: Chris touches on the role of technology in private equity transactions, particularly in the context of regulatory compliance and deal execution. He discusses the potential for AI and other technologies to streamline processes and improve efficiency. Dechert’s Positioning: Chris outlines Dechert’s strategic positioning in the private equity market, emphasizing their global presence and expertise in complex transactions. He highlights the firm’s commitment to providing high-quality advisory services across various geographies and sectors. #PrivateEquity #MergersAndAcquisitions #InterestRates #Fundraising #GPStakeSales #ValuationGap #DealStructures #RegulatoryCompliance #LiquiditySolutions #InnovationInFinance #Podcast #BusinessPodcast  Follow: LinkedIn: Fund Shack LinkedIn Spotify: Fund Shack on Spotify Apple Podcasts: Fund Shack on Apple Podcasts YouTube: Fund Shack on YouTube Google Podcasts: Fund Shack on Google Podcasts If you are interested in appearing on the show, wish to propose a client, or are interested in sponsorship, contact: katie@linearb.media Learn more about your ad choices. Visit megaphone.fm/adchoices

Private equity is a great way of investing in uncertain, high growth environments. Strange then, that the African private equity industry is so small. In fact, Stephane Bacquaert, managing partner of Adenia Capital, argues that the mature Western private capital industry has systematically misunderstood the African opportunity, and its risk profile in particulare. In this Fund Shack podcast with Ross Butler, he talks about managing one of Africa's largest buyout funds, and the value that so many investors are missing out on. Key Highlights: Stephane’s Journey: Transitioned from strategy consulting to private equity in Africa, driven by personal connections and a desire to support African businesses. His initial venture failures led him to focus on supporting management teams through investment. Investment Strategies: Emphasis on control buyouts and majority deals, which provide more influence over business outcomes. Investment decisions are driven by bottom-up analyses, focusing on companies with strong growth potential, robust management teams, and pricing power. Importance of being embedded locally to source and execute deals effectively, given the lack of structured deal flow and the necessity of relationship-based deal sourcing. Market Dynamics: Africa’s high growth potential is driven by demographic trends, urbanization, and a burgeoning middle class. The continent’s economic fundamentals include rapid population growth, significant urban migration, and high GDP growth rates in several countries. These trends create opportunities in sectors such as consumer goods, retail, financial services, and infrastructure. Challenges include currency devaluation, regulatory complexities, and the need for infrastructure development. Challenges and Opportunities: Navigating Africa’s complex regulatory landscape requires deep local knowledge and adaptability. Currency devaluation is a significant risk, necessitating investments in companies with strong local demand and pricing power. Building infrastructure is crucial, from establishing retail chains to upgrading production facilities. Impact and ESG: Private equity investments in Africa have a profound impact on job creation and economic development. Adenia Partners focuses on improving ESG standards, such as transitioning companies to more sustainable practices and ensuring compliance with international environmental and social standards. Examples include the transformation of a retail chain in Kenya and the shift to water-based paints in East Africa. These efforts not only enhance business value but also attract international buyers and investors. #PrivateEquity #AfricaInvestment #ImpactInvesting #ESG #VentureCapital #InvestmentStrategies #EmergingMarkets Follow Fund Shack on LinkedIn OR Watch YouTube Fund Shack is a private equity podcast and global media channel for alternative investment professionals. Fund Shack is produced by Linear B Group. Contact: Katie Mitchell Email: katie@linearb.media Company: Linear B Group Learn more about your ad choices. Visit megaphone.fm/adchoices

Repackaging Private Equity—Why Retail Investors Are the Next Big Battleground

Private equity has always been a game for the big players, until now. Fund managers are racing to repackage private equity for smaller investors, while governments push for new structures like ELTIFs and LTAFs. But is this shift a revolution or a recipe for risk?

Henry Freeman, investment expert and founder of The Fund Society, has been at the heart of public and private markets for two decades. In this episode, he shares his unfiltered take on the push to retailise private equity, why commitment, not liquidity is the real secret to success, and how tech might be the missing link in solving PE’s accessibility problem.

Henry’s Journey: Henry Freeman has a diverse background in public and private investment markets, fintech entrepreneurship, and investment trust board membership. His career includes roles at Lloyds Private Bank, Foresight Partners, and Liberum, showcasing his extensive experience in managing and structuring investment funds.

Investment Strategies

Semi-Liquid Structures: Emphasis on creating investment vehicles like LTIFs and ELTs that offer some liquidity while maintaining the benefits of private equity.

Commitment Focus: The critical role of commitment in private equity, arguing that commitment is a feature rather than a bug, essential for achieving the high returns associated with private equity investments.

Public-Private Hybrids: Development of funds that invest in listed private equity firms, providing liquidity and accessibility while capturing private equity’s growth potential.

Risk Management: Approaches to managing liquidity risk, including the potential for forced asset sales during market downturns and the implications for fund performance.

Market Dynamics:

Historical Discounts: Analysis of historical opportunities in listed private equity during the 2008 financial crisis and recent market conditions, highlighting significant discounts to net asset value (NAV) and the impact on investor returns.

Current Opportunities: Examination of current market conditions post-COVID, with a focus on identifying value in listed private equity and the potential for significant returns as market conditions stabilize.

Challenges and Opportunities:

Scalability Issues: Discussion on the scalability of closed-end fund structures versus open-ended vehicles, emphasizing the challenges and potential solutions for scaling private equity investments.

Mis-Selling Risks: Concerns about the risks of mis-selling private equity products to retail investors, particularly with open-ended structures that may not align with the traditional private equity investment model.

Technological Integration: The potential for leveraging technology, such as tokenization, to streamline the transfer and management of private equity interests, enhancing liquidity and accessibility.

Fund Society:

Platform Overview: Introduction to the Fund Society, an online hub for investment professionals, providing curated intelligence-based content, news aggregation, and thought leadership.

AI Integration: Use of AI and large language models to curate and prioritize content, ensuring relevance based on market trends and news events.

Community Building: Efforts to build a community of investment professionals, facilitating knowledge sharing and networking opportunities across asset class

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Moral Hazard in Alternatives - Daniel Zwirn on Fund Shack's Private Equity Podcast Daniel Zwirn discusses his unique approach to alternative investments through Arena Investors LP, emphasizing a merchant banking style. He explores the advantages of historical financial models, moral hazard in fund management, and strategic flexibility in navigating global markets. Key Highlights: Arena Investors' Philosophy: Historical Best Practices: Arena is inspired by successful financial models dating back to the 1600s, focusing on strategies from the Rothschilds, global grain traders, and Asian merchant houses. Moral Hazard Prevention: Prioritizing structural advantages where Arena's scarce resources (capital) are needed, reducing the risk of moral hazard. Investment Strategies: Cyclical and Opportunistic Investing: Identifying and exploiting cyclical opportunities across various sectors and geographies, avoiding overreliance on a single strategy. Regulatory and Structural Arbitrage: Taking advantage of inefficiencies and regulatory differences across markets, providing a unique edge in capital deployment. Market Dynamics and Opportunities: Global Macroeconomic Trends: Analyzing the impact of QE, fiscal policies, and inflation on asset bubbles and market corrections, and strategically positioning investments accordingly. Sector-Specific Strategies: Focused on distressed assets, special situations, and high-value sectors like real estate, structured finance, and commercial lending. Operational Complexity: Global Multi-Strategy Approach: Operating across North America, Europe, and Asia with a diversified portfolio including corporate, real estate, and structured finance. Joint Ventures: Leveraging over 50 joint ventures worldwide for deep domain expertise, aligning interests, and maintaining variable cost efficiency. Ethical and Social Responsibility: Social Utility Investments: Focusing on investments that provide social benefits, such as healthcare and rehabilitation centers, while maintaining high returns. Consistent Ethical Framework: Avoiding trends like greenwashing, with a focus on long-term ethical investment practices. Conclusion/Takeaway: Daniel Zwirn highlights the importance of a disciplined, ethical approach to alternative investments, focusing on long-term value creation and strategic flexibility. His insights provide a comprehensive understanding of navigating private markets amidst evolving economic conditions. #PrivateEquity #InvestmentStrategies #MoralHazard #MerchantBanking #ArenaInvestors #MarketDynamics Follow Fund Shack on LinkedIn Watch: YouTube Contact Information: About Fund Shack: Fund Shack is a private equity podcast and global media channel for alternative investment professionals. Fund Shack is produced by Linear B Group. Contact: Katie Mitchell Email: katie@linearb.media Company: Linear B Group Learn more about your ad choices. Visit megaphone.fm/adchoices

Hans Lovrek stumbled on Medieval Florentine documents that showed structures were being used to align interests in ventures with high information asymmetry that were uncannily similar to today’s limited partnerships.

Through a method of historical institutionalism, Hans demonstrates how the same techniques have been used to solve similar problems, down the ages, and that today’s private equity industry is based on ideas that successful trading nations have used before.

This episodes was recorded in March 2019 and is released on podcast for the first time in December 2023.

Hans Lovrek, Founder of Commenda Private Equity uncovers the historical foundations of modern private equity by analyzing medieval Florentine documents, revealing structures similar to today’s limited partnerships. His method of historical institutionalism demonstrates how successful trading nations historically addressed information asymmetry, influencing contemporary private equity practices.

Historical Parallels:

Medieval Commenda and Modern LPs: Lovrek discovered that medieval commenda contracts from the 6th to the 14th centuries share striking similarities with today’s limited partnerships (LPs), highlighting features like profit sharing, limited liability, and limited duration.

Structural Analysis:

Profit Sharing: Medieval contracts typically had a 25% profit share for the general partner (GP), akin to the 20% carried interest in modern private equity.

Limited Liability: Essential for allowing families and other investors to participate without risking their entire fortunes.

Duration: Projects were financed for specific ventures (e.g., sea voyages) with fixed terms, similar to the ten-year lifespan of modern funds.

Regulatory Influence:

Role of Regulation: Increased regulation in Venice facilitated the rise of commenda contracts by providing a framework that reduced moral hazard and ensured fairness, leading to a thriving venture investment environment.

Comparison to Modern Regulation: The historical necessity of regulation for venture success parallels modern regulatory practices, suggesting that a codified international structure could simplify private equity investments.

Due Diligence and Moral Hazard:

GP Clawback: Medieval practices included mechanisms to ensure GPs returned excess profits if investments later underperformed, a concept still relevant today.

Challenges of Information Asymmetry: Both medieval investors and modern LPs face similar challenges in monitoring GPs and ensuring aligned interests.

Medieval Foundations of Modern Private Equity – Hans Lovrek on Fund Shack’s Private Equity Podcast

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Fund Shack is produced by Linear B Group. Linear B Group

Yaron Valler is a founder of venture capital firm Target Global. He is a successful entrepreneur and investor, and was part of the team at Intel that invented the Pentium Processor. In this episode of the Fund Shack podcast, he talks to Ross Butler about how AI will change ‘everything’, virtual reality, how government’s should direct innovation and risk capital, and much more. [00:00:00] Ross Butler: You’re listening to Fund Shack. I’m Ross Butler, and today I’m speaking with Yaron Valler, a founder at Target Global, a venture capital firm with offices in London, Berlin, Barcelona, Tel Aviv and elsewhere. […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Private credit has grown into a $1.6–1.7 trillion market, but much of the current narrative is dominated by concerns around defaults, AI disruption and liquidity.

In this episode, David Hirschmann, Co-Head of Permira Credit, explains why private credit is a structural evolution of the financial system, not a cyclical boom, and why much of the perceived risk reflects a misunderstanding of how credit actually works.

What we cover

🔹The post-GFC origins of private credit

🔹How direct lending competes with syndicated loans

🔹Why borrowers pay a premium for certainty and flexibility

🔹 The role of equity cushions in protecting lenders

🔹 What really happens in a default scenario

🔹Why extreme default forecasts may be overstated

🔹The difference between equity risk and credit risk

🔹How AI impacts credit underwriting

🔹Why information advantage matters in private credit

🔹How LPs assess and differentiate managers

Private credit is often judged through an equity lens, focusing on valuation risk and market sentiment.

In reality, credit investing is driven by cash flow durability, capital structure and recovery dynamics, which can produce strong outcomes even when equity returns disappoint.

🔹🔹🔹🔹🔹🔹

David Hirschmann

Co-Head of Permira Credit & Head of Private Credit

🔗CONNECT on LinkedIn

https://www.linkedin.com/in/david-hirschmann-4072a2/

🌐 https://www.permira.com/investing/credit

🔹🔹🔹🔹🔹🔹

Ross Butler

Founder and Host Fund Shack

🔗 CONNECT on LinkedIn

https://www.linkedin.com/in/rossbutler1/

🌐 www.fund-shack.com

🔹🔹🔹🔹🔹🔹

📘 Order Ross Butler’s book

👉 Invest Like a Barbarian: Share in the spoils of the Private Markets revolution

♾️ http://q-r.to/Invest-Like-A-Barbarian#investlikeabarbarian

🔹🔹🔹🔹🔹🔹

Chapters

00:00 – Private credit: structural shift or temporary boom? Why the asset class has grown so rapidly and why the current narrative may be misleading

02:20 – The post-GFC origin story. How bank retrenchment created the opportunity for private lenders

04:30 – Banks vs private credit: competition or coexistence? Where banks still dominate and where private lenders have the edge

07:00 – Private debt vs syndicated loans. Cost vs certainty, and why borrowers increasingly choose private markets

10:30 – Is private credit too borrower-friendly? Relationship lending, sponsor alignment and the role of equity cushions

12:00 – What happens when deals go wrong? Restructuring, debt-to-equity conversion and recovery dynamics

14:30 – Default rates: are markets overreacting? Why extreme forecasts may reflect macro fear rather than fundamentals

16:00 – AI risk: equity vs credit perspective. Why technological disruption impacts valuation more than repayment

20:00 – What investors get wrong about credit risk. Why leverage and covenants alone don’t tell the full story

23:00 – Case study: restructuring and recovery. How a challenged investment still delivered a positive outcome

25:00 – Can LPs really differentiate between managers? Market concentration and what actually matters in manager selection

27:00 – Why experience is critical in private credit. Downside management, restructuring and long-cycle investing

🔹🔹🔹🔹🔹🔹

About Fund Shack

Private Markets Podcast, Fund Shack

www.fund-shack.com

Explores private equity, private credit, infrastructure, secondaries and private wealth access through long-form, technical conversations with leading practitioners and thinkers.

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Prosecuting a mid-market healthcare strategy, with Livingbridge

Sanjay Panchal is a partner at Livingbridge, a leading international growth capital investor, where he specialises in healthcare. In this episode he speaks to Ross Butler about the opportunities for private equity investors across the healthcare sector.

Sanjay Panchal, Partner at Livingbridge discusses the dynamics and opportunities in the healthcare sector from an investor’s perspective. He explains how Livingbridge focuses on thematic investing, identifying long-term trends like aging populations and technology adoption. Sanjay emphasizes the importance of improving healthcare outcomes and the role of private equity in driving innovation and efficiency in the sector.

Healthcare Investing Approach:

Thematic Investing: Identifying key growth trends and focusing on businesses driving change in healthcare outcomes.

Mid-Market Focus: Investing in UK mid-market businesses and helping them scale, targeting areas with growth rates significantly above GDP.

Investment Philosophy:

Outcome-Driven: Partnering with businesses focused on improving healthcare outcomes, believing that commercial success follows quality care.

Employee Focus: Emphasizing the importance of recruiting and retaining skilled staff, crucial for sustainable healthcare businesses.

Service vs. Capital-Intensive Businesses:

Service Models: Primarily investing in service-oriented businesses, including technology services, rather than capital-intensive sectors like hospitals.

Examples: Investments include businesses like Helping Hands (home care services) and Nourish Care (digital record management for elderly care homes).

Changing Healthcare Trends:

Ten-Year Truths: Identifying long-term trends such as aging populations and shifts in care from hospitals to the community.

Technology Adoption: Significant focus on healthcare technology to improve service delivery and patient outcomes.

Life Sciences and Biotech:

Complex Drug Pipelines: Trends towards more specific, complex drug developments targeting smaller patient populations.

Outsourcing in Pharma: Increasing reliance on third-party providers for drug discovery, clinical trials, and commercialization.

Geographic and Sector Focus:

International Presence: Investments in various geographies, including the US and Australia, with a focus on scalable, specialized healthcare services.

Consumer Healthcare: Noting a shift towards greater consumer control and visibility over health, though the private pay sector still has growth potential.

Sanjay Panchal’s insights highlight Livingbridge’s strategic approach to healthcare investing, emphasizing thematic investing, improving healthcare outcomes, and leveraging technology. The firm focuses on scalable service models and recognizes the critical role of private equity in driving innovation and efficiency in the healthcare sector.

#HealthcareInvesting #PrivateEquity #ThematicInvesting #HealthcareOutcomes #LifeSciences #HealthcareTechnology

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 Fund Shack is a private equity podcast and global media channel for alternative investment professionals.

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Marcus Maier-Krug is partner and co-head of portfolio management at Arcmont. He has been working in private credit since before the global financial crisis. In this episode, recorded in November 2023, we discuss what constitutes alpha in private credit, what it’s attractions are as an asset class, whether it can retain the market share it has taken from the traditional banking world, the different mindset and culture of private credit lenders vis a vis their borrowers, and much more… [00:00:00] Ross Butler: You’re listening to Fund Shack. I’m Ross Butler, and this week I’m talking with Marcus Maier-Krug, partner and […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Alejandro Alcalde Rasch is a senior director in Advent International‘s portfolio support group. He joined Advent in 2010 having been chief transformation officer and head of supply at Gröhe AG and a partner in McKinsey’s chemicals practice. In this Fund Shack podcast, Alejandro talks to Ross Butler about the genesis of Advent’s dedicated portfolio support group, how it has grown over time, what he looks for in value creation professionals, how the team works alongside deal executives and the importance of a value creation plan. [00:00:00] Ross Butler: You’re listening to fund Shack. I’m Ross Butler, and today I’m speaking […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Harvard professor Josh Lerner explains the risks and requirements of public intervention in establishing a thriving venture capital and entrepreneurial ecosystem. Professor Lerner tells Ross Butler that seeding a venture capital industry is a difficult and slow process – it’s not just the case of emulating Silicon Valley. With reference to his classic work, ‘Boulevard of Broken Dreams‘, Ross Butler asks for Josh’s key recommendations, and in particular whether increasing the supply of venture capital or the demand for it, is the more sensible route for policymakers. With reference to the US, Japan, Australia, the EU and Great Britain, this […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Andros Payne talks to Ross Butler about the holy grail of private equity value creation: a systematic, quantitative approach to cultural and behavioural change. What makes businesses work well? Andros Payne is an engineer and entrepreneur who has spent two decades codifying and benchmarking the behaviours of senior and middle managers that are proven to drive growth and underpin cohesive and healthy cultures. His firm, Humatica, has worked with some of the leading private equity firms in applying the methodology to their portfolio companies. In this Fund Shack podcast, he explains how he has managed to make objective and transparent […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Private equity podcast with Ross Butler and Reynir Indahl of Summa Equity on Impact investment. Learn more about your ad choices. Visit megaphone.fm/adchoices

Warren Hibbert of Asante Capital Group explains the log-jam in the private capital fundraising market on the Fund Shack podcast Learn more about your ad choices. Visit megaphone.fm/adchoices

Douglas Hansen-Luke speaks to Ross Butler on the Fund Shack podcast. Topics: impact investing, university spin-outs, pension fund reforms. Learn more about your ad choices. Visit megaphone.fm/adchoices

Jonathan Blake is head of international funds strategy at Herbert Smith Freehills. In the 1980s, Jonathan was responsible for devising the very first limited partnerships for venture capital and private equity in the UK and Europe, and was responsible for convincing the British government that these closed-ended funds were a legitimate structure and valuable business […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Trevor Hope is Chief Investment Officer of Gresham House Ventures, the growth capital arm of one of the UK’s oldest companies. In recent years, the firm has been growing rapidly, consolidating the market for Venture Capital Trusts, tax-break vehicles for individual investors to access growth business in the UK. In this podcast with Ross Butler […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Can algorithms already outperform human decision-making in private equity?

In this episode of Private Markets Podcast, Fund Shack www.fund-shack.com, Ross Butler speaks with Oliver Gottschalg, Professor at HEC Paris and founder of Gottschalg Analytics, about how machine learning is already reshaping private equity fund selection and secondaries pricing.

Drawing on more than 25 years of empirical research and extensive real-world back-testing, Gottschalg explains why algorithmic decision support can improve outcomes using the same opportunity sets LPs invest in today. The discussion explores why private markets may be structurally better suited to machine learning than public markets, where human judgement still matters, and how lower-cost, more scalable private equity products could emerge.

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Topics covered include:

• How machine learning can outperform “normal” private equity allocation decisions
• What conservative back-testing on real LP portfolios reveals
• Why private equity secondaries pricing remains inefficient
• The limits of explainability and the rise of predictive decision-making
• How humans should interact with algorithms as downside governors, not alpha generators
• What this means for LPs, GPs and the future cost of liquidity in private markets

🔹🔹🔹🔹🔹🔹

Guest:

Oliver Gottschalg, Professor of Strategy and Business Policy at HEC Paris, Director of the HEC Private Equity Certificate, and Founder of Gottschalg Analytics.

🌐 Gottschalg Analytics: https://www.gottschalg.com/🔗

https://www.linkedin.com/in/oliver-gottschalg-b53b6261/

Host: Ross Butler, Founder and Host Fund Shack

🌐 www.fund-shack.com

🔗 CONNECT on LinkedIn https://www.linkedin.com/in/rossbutler1/

📘 Order Ross Butler’s book

👉 Invest Like a Barbarian: Share in the spoils of the Private Markets revolution

♾️ http://q-r.to/Invest-Like-A-Barbarian#investlikeabarbarian

🔹🔹🔹🔹🔹🔹

About Fund ShackPrivate Markets Podcast, Fund Shack www.fund-shack.comExplores private equity, private credit, infrastructure, secondaries and private wealth access through long-form, technical conversations with leading practitioners and thinkers.

💡 Suggest a guest: katie@linearB.media

📩 Join our community Substack: https://privateequitypodcastfundshack.substack.com/

🎧 Listen on podcast platforms or watch the full episode on YouTube

📘 Explore episode summaries, transcripts and related content at www.fund-shack.com

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The so-called perma-crisis of political and economic volatility witnessed in the UK, and beyond, has made the business of raising and investing long-term funds is even more uncertain than usual. To help private markets practitioners navigate these choppy waters, we spoke with David Gauke, Damien Crossley and Shailen Patel from Macfarlanes. David Gauke is one […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Laura Dillon leads Waterland Private Equity‘s Dublin office, which she established in 2020. Laura has had a varied career both in private equity and business. She has worked at several private equity firms, including Apax Partners and Riverside, and set up a distribution business with her family that was sold to a corporate acquirer. In […] Learn more about your ad choices. Visit megaphone.fm/adchoices

Paul Newsome is head of portfolio management at Unigestion, a Switzerland-based asset manager with a global private markets platform. Paul has been at the firm for two decades, during which he has set up its private markets operation in North America, and has been instrumental in establishing its directs, co-investment and secondaries programmes. In this […] Learn more about your ad choices. Visit megaphone.fm/adchoices

David Larsen has been at the forefront of alternative assets valuation policy for several decades. He is managing director at Kroll, which was acquired by Duff & Phelps in 2018, and advises many of the largest alternatives institutions on private equity transactions and valuations policy. He has been vice-chair of IPEV – the International Private […] Learn more about your ad choices. Visit megaphone.fm/adchoices