Chart of the week: Venture capital and growth equity fundraising moves closer to targets

Capital raised for closed-ended venture capital and growth equity vehicles is starting to realign with targets after a bumper 2014.


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Tiger Global Management closed its venture capital vehicle, Tiger Global Private Investment Partners X, at its target size of $2.5 billion, it was reported last week.

That it closed at its target reflects a trend the PEI Research & Analytics team has been analysing.

With just a few weeks of the year to go, total capital raised for venture capital and growth equity in 2015 exceeds target size by $9.95 billion. This compares with $39.57 billion in 2014 – the greatest positive amount collected above initial target sizes for closed-ended funds in recent years.

It could be argued that 2014 was a more successful fundraising year, but maybe fund managers are now setting more accurate targets.

So far this year, the venture capital or growth equity vehicle that beat its target by the biggest margin was EnCap Energy Capital Fund X. At final close in April, the North America-focused energy fund had collected $1.5 billion more than the $5 billion intended.