Chart of the Week: Global Fundraising

Global funds lagged behind in 2014

 COW 3-18 411x

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With the recent close of the opportunistic property fund Starwood Global Opportunity Fund X at $5.6 billion, PERE Research & Analytics decided to take a further look into total capital raised for funds that have a global approach to investing and how they compare to those that target the rest of the world. Data reveals that, between 2008 and 2014, 141 global funds raised a total of $169.9 billion. Since their lowest point in 2009 with an aggregate total of $14.5 billion, global funds had consistently taken a larger chunk of the total capital raised, with a high of 27 percent in 2013. The largest global fund to close for 2013 was the Lone Star Real Estate Fund III which raised $7 billion in October. Despite 2013’s post crisis milestone for global funds, 2014 did not continue the growth of total capital, accounting for 18 percent of the $94.6 billion raised. This may be due to the lack of mega funds, funds that raised more than $1 billion, in 2014 compared to 2013. In 2013, a total of eight megafunds closed while five closed in 2014. The Lone Star Fund IX was the largest global fund to come from 2014, with an aggregate total of $7.4 billion.