Ken Wee

💡Emerging GP Fundraising Insight #8: Rolling Closes Keep You Moving Small funds can't always afford to sit still until the target is hit. Rolling closes let you start deploying earlier, build a track record, and show momentum to prospective LPs. One GP told me that for Fund I ($5M target), he took capital as it came, signed, wired, and got to work. It wasn't perfect, but it kept the lights on and the deals moving. Sometimes the "sign and wire as it comes" approach is the only way to get moving. Takeaway: Momentum is a fundraising asset and rolling closes can help you keep it. Has anyone here used rolling closes as a strategic advantage?

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What does the "new era" of private equity look like? This week at PEI NEXUS, Bain & Company's Chairman of Global Private Equity Practice Hugh MacArthur recapped the firm's latest Global Private Equity Report. Hugh noted that firms will need to focus on what they do well in a “new era” for private equity. These sentiments echoed much of what Private Wealth Forum speakers, including Arax Investment Partners Founder and CEO Haig Ariyan, Laird Norton Wetherby CIO Ron Albahary, CFA, Ardian Managing Director, US Private Wealth Solutions Ava Mallin, and Citi Wealth Head of Private Equity and Real Estate Jeffrey Locke, shared on stage at PEI. This week's AGM Alts Weekly dives into what a "new era" in private equity might look like, connecting dots and data points from Bain & Company and McKinsey & Company's 2026 reports on the state of the private equity industry. Some key themes defined the takeaways from both reports: ➡️ Returns will not be a dime a dozen: Bain's punchline? "12 is the new 5." ➡️ Megadeals, big questions: 2025 witnessed an increase in global buyout deal value. However, just 13 deals of $10B or more contributed 69% of the growth in 2025, accounting for $274B of the global gain. ➡️ A K-shaped industry: Private equity appears to turning into a K-shaped industry, with “a subset of elite funds [being] on the upswing while everyone else muddles through.” ➡️ No fun in fundraising: McKinsey noted that core, closed-end fundraising has “become more competitive, selective, and time consuming.” ➡️ Continuation nation: There’s been a marked rise in continuation vehicle activity, but only represents less than 10% of exit value. ➡️ Mid-sized deals not so mid: Megadeal activity grabbed the headlines. But deal sizes $1-5B deals grew 29%. Growth in the $1-5B deal size segment could be encouraging for specialist buyout funds. There are some key questions for allocators to grapple with as they think about what private equity might look like in the future. 1️⃣ Do allocators believe public markets will continue to outperform private markets? 2️⃣ Will fundraising bounce back? 3️⃣ Can firms kick value creation into motion? 4️⃣ Are both GPs and LPs ready to handle how investors might look to exit evergreen vehicles? 5️⃣ For LPs, are they finding managers that have an edge? Read on for more👇 This week's Alt Goes Mainstream's AGM Alts Weekly, brought to you by DealsPlus, covers: 🗂️ AGM Index, an index that tracks the leading publicly traded alternative asset managers. 💻 Who is hiring: Senior-level positions from companies Blackstone, KKR, Apollo Global Management, Inc., Ares Management, EQT Group, Blue Owl Capital, Franklin Templeton, Fortress Investment Group, iCapital, Goldman Sachs, Ultimus Fund Solutions, Krilogy, MSCI Inc. Subscribe👇 to see the latest trends & navigate this rapidly changing landscape as alts go mainstream. https://lnkd.in/eRKN25jy

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I spoke with Christien Louviere of BDE Capital about his journey from a $330mm exit to becoming an independent sponsor. Christien shared excellent insights for folks looking to partner with business owners, rather than buy sellers out completely. Below are a few of the topics we covered: - Why he moved from “zero-to-one” startups to a buy-then-build strategy - How Christien's background shaped a focus on growth vs. cost-cutting - Why 20–40% rolled equity is central to his deal structures—and how it builds trust with sellers - Using scenario analysis with AI tools to evaluate management teams and uncover hidden key-person risks - How to identify when a $3–5M EBITDA company truly has a middle management layer—or is still founder-reliant For anyone investing in or buying small businesses, Christien’s approach provides a fresh lens on growth, alignment, and deal structuring. 🎥 Watch the full interview here → https://lnkd.in/ekfkaiej 🎧 Listen on Spotify: https://lnkd.in/e86Agx6V

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I’ve spoken to over 2 dozen MDs at PE firms I can confidently say that the arb of figuring out how to implement Vertical AI at portfolio companies is very real right now It will fundamentally change underwriting for those who can do it predictably and unlock generational returns. Most are aware they need to act. Very few have.

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An emerging VC manager's fundraising lessons... the first two funds are a grind. Now, we’re on our third fund, it feels like we’re almost over the hump, but fundraising never gets easy for most of us. I want to congratulate the emerging VC firms presenting at this year’s RAISE Global conference. As former RAISE presenters, and (soon-to-graduate) emerging managers, we thought we’d share this LP Translator, a lighthearted guide to decoding what LPs really mean during the fundraising process. Fellow GPs, which ones did I miss? 👇 The LP Translator 📣 "Let’s stay in touch.” Translation: We’re not interested. “We want to see your track record develop.” Translation: Either we don't believe in your strategy, or we’re focused on managers with more buzz. “We’re not allocating to new managers right now.” Translation: We’re not allocating to you right now. "Show us your deals so we can get to know you.” Translation: We’d like free co-invests if you get something hot. “We need to see more DPI before we commit.” Translation: We don’t really understand VC, but we’re pretending to. “We’re fully allocated for this year; check in early next year.” Translation: Next year we’ll still be fully allocated (just not to you). “Call us before final close.”  Translation: I’m too polite to say no at this time, so I’m kicking the can down the road. “Your fund is too small.”  Translation: Okay, that one might actually be true (for some LPs). “We went through your data room and want to meet face-to-face.” Translation: We’re genuinely interested, keep going! “Can you send us your LPA for signature?” Translation: Let’s go! 🚀 -------------------------- Fundraising is a long game, longer than we ever expected. We're now seeing how LP relationships are built across several funds, not several months. If they’re investing time to learn about you and your strategy, that’s your best signal of real interest. #emergingmanager #venturecapital #LP #RAISEGLOBAL

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Never stop learning...., especially from top mentors and organizations... After a few years in PE/VC industry, I signed up for the PE/VC course at University of Chicago, organization that currently has itself over USD 3 billion of investments in private equity and venture capital. The course is led by Scott Meadow, who shares his 40+ years of direct investment experience as a principal investor in firms and partner in PE/VC funds. The program is designed by the The University of Chicago Booth School of Business faculty, including Steven Kaplan, most quoted academic expert on how PE and VC funds work, and the author of the Kaplan-Schoar Index (see link in comments), used now as an industry standard, and reported by Preqin and others. The program brings together leaders from around the world, current and future start-up founders, PE/VC professionals, hedge funds and family office managers, and corporate officers acting as LP's. Every time I come to Chicago, I search for newest trends, deep understanding of business issues, but also for energy and inspiration coming from discussions with peers.

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Following on from Packy McCormick's post on the growth in VC-backed exit values over the last 20 years, we did our own deep dive into the Pitchbook data. We looked at US VC-backed exits from 2005-2024 (with an exit value of at least $10k) and broke things down into five year periods. Some key takeaways: * Nobody is getting rich from the median exit. For the whole 20-year period, the median exit size was just $85m. It has been steadily growing - from $50m in 2005-09 to $113m in 2020-24 - but nobody is investing in VC for these sort of outcomes. * The value of a top 10% exit grew from $400m in 2005-09 to $1.6bn in 2020-24. This is a 59% compound growth rate over each of the four periods. * The value of the 99th percentile exit, the mythical top 1%, grew even faster - from $1.4bn in 2005-09 to $10.2bn in the most recent five-year period. This represents a 93% compound growth rate over each period. If this trend continues, then we should expect to see the top 1% exit increase to nearly $20bn over the next five years and nearly $40bn in 2030-34. We have always said that you should compare fund sizes today to the expected exit sizes in 10 years' time. If we do think the top 1% exit will be $40bn+ when today's funds are maturing (which doesn't strike me as crazy), then how does that impact the debate on what an appropriate fund size should be for a 2025 vintage fund?

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