Wed, Aug 10, 2022
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

24 natural resources funds closed in Q1 2022, securing $57bn

Tuesday, April 12, 2022

Laxman Pai, Opalesque Asia:

Global natural resource fund managers have secured a staggering $57bn from 24 funds- the most successful first quarter on record of any year for the asset class in terms of aggregate capital raised, said a study.

According to Preqin's Q1 2022 Natural Resources Report, while the number of funds closed remains on the lower side at 24, it does indicate the growing size of funds among successful fundraises. This quarter saw the fourth largest fund of $17bn for KKR Global Infrastructure Investors IV.

As per data, net cash flows reached a positive $2.9bn in Q1 2022. this is the first-time natural resources net cash flows have surpassed the zero threshold.

"This means that more capital is being distributed back to investors than called up by fund managers for investment - this is likely the result of Q3 2021 being one of the weakest quarters for fundraising, leading to less capital called," the report said.

The proportion of investors planning to commit capital of $300mn or more has more than tripled from 8% in Q1 2021 to 28% in Q1 2022.

"Natural resources have shown investors the potential it can offer them beyond the single-use case of diversification we have seen in years past. The asset class offers inflation indexing, prospects of a new commodity supercycle, as well as improving returns," Preqin said.

Confidence in the asset class is building, but where the best returns will be realized is less clear. On......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Other Voices: ESG exuberance is at all-time highs. But will investors buy?[more]

    As investors increase their focus on mission-based investing, they continue to grapple with ESG and what it means to them. By David Shalom, Director of Capital Introductions at Pershing Innovation. New investment solutions. That's how managers deliver value and attract new inve

  2. Alts managers sitting on over $2.5tn+ of dry powder[more]

    Laxman Pai, Opalesque Asia: In the current rising interest rate environment, investment activity in the private markets has continued to grow, revealed a study. "With alts managers sitting on over $2.5T+ of dry powder and continuing to enjoy premium valuations and interest rates on a prec

  3. Opalesque Exclusive: Hong Kong manager expects additional tailwind in Asian markets[more]

    B. G., Opalesque Geneva: The Asia equity markets have not been at their best so far this year, with the MSCI Asia index down almost 13% YTD, but many managers remain buoyant about the region, as in

  4. Opalesque Exclusive: Emerging markets persist despite headwinds[more]

    Bailey McCann, Opalesque New York: Emerging markets have been under significant pressure since the start of the year, but there are some nascent trends that suggest that things could be getting better. Emerging markets firm Gramercy Fund Management recently released its third quarter outlook and

  5. Opalesque Exclusive: Castle Hall's DiligenceExchange free Transparency Reports cover 100 managers with $10tn of assets[more]

    Matthias Knab, Opalesque for New Managers: Managers and investors can get free access to DiligenceExchange here: https://bit.ly/DXCInfo Castle Hall, the Du