PitchBook Analyst Note: The Evergreen Evolution

This note was updated on September 30, 2024, to correct a management fee listed on page 13.

Perpetual capital funds rise as GPs tap private wealth 

Private fund managers are searching for new pools of capital to grow as institutional investors pump the brakes on further allocations to private capital. Private wealth presents a $450 trillion opportunity, but regulations on closed-end funds have hindered access for individual investors. 

Evergreen fund structures have become more popular as a result, our latest analyst note explains. These funds let money move in and out more freely, appealing to private wealth investors and their advisors. GPs benefit from the wider pool of investors.  

Brand-name firms have been the biggest winners so far, but tech platforms are bridging the divide between investment advisors and smaller GPs.