Evergreen funds bring flexibility and efficiency to private markets. What difference could they make to your portfolio?

Evergreen funds are growing in popularity because they may offer simpler access to private markets and greater portfolio flexibility. More than 400 new evergreen funds launched between 2017 and 2023, while total net assets in evergreens rose from $245 billion in 2022 to $493 billion in 2025, according to Morningstar PitchBook.¹ ²

That said, many managers are new to this strategy, so track records can be relatively short. Investors need to scrutinise managers carefully by looking at asset selection discipline, governance, alignment, incentives and valuation transparency. As with any private markets investment, manager quality is what ultimately drives returns.

This report examines the rise of evergreen strategies, the factors driving their growth and how they can complement traditional private equity programmes.

Key takeaways:

• Investor demand for greater flexibility in their private markets allocations is creating space for evergreen strategies.
• Evergreens’ relatively low investment minimums and user-friendly features open up private markets to more individual investors.
• Featuring investment upfront and reinvestment of proceeds, evergreens offer administrative simplicity and capital efficiency.
• With in-built (limited) redemption mechanisms, evergreens can help investors manage liquidity.

Important notice

This content is for informational purposes only. Moonfare does not provide investment advice. You should not construe any information or other material provided as legal, tax, investment, financial, or other advice. If you are unsure about anything, you should seek financial advice from an authorised advisor. Past performance is not a reliable guide to future returns. Don’t invest unless you’re prepared to lose all the money you invest.

Sources: ¹ Hamilton Lane 2025 ² Morningstar / Pitchbook 2026