Company grows investor base to over 1,000 through Covid-19 pandemic; investors increasingly allocate to multiple funds and build diversified private markets portfolios
Exceptional track record and increasing diversity of funds on platform help power record growth
BERLIN, December 16, 2020 — Moonfare, the leading private equity investment platform, has surpassed €500 million assets under management, a critical milestone for the company less than three years after it began.
Since the end of 2019, Moonfare has more than doubled assets under management, from €230 million to over €500 million; doubled the number of private markets funds offered on its platform, from 13 to 26; and more than doubled the number of investors on its platform, from 480 to over 1,000, while increasing the number of investments per investor.
“There is no secret to Moonfare’s success. We offer the best product on the market in the most convenient way,” says Moonfare founder and CEO Dr. Steffen Pauls. “We listen to our investors’ needs, we work tirelessly to put solutions within their reach, and we never stop innovating. That is how we got to €500 million this year, and that is how we are going to grow the business again next year.”
“At this time, I would like to acknowledge all of the investors who have trusted us with allocations and all the partners who worked with us shoulder to shoulder because they believe in our mission,” Steffen says. “Finally I want to say, we are incredibly grateful to our shareholders and proud of our team. Everything we do, we do together.”
Moonfare’s total assets under management refers to the combined commitments to the discrete general partner entities Moonfare I S.à r.l and Moonfare II S.à r.l.
Private Equity Buyout Funds
The core of Moonfare’s offering comprises funds from private equity buyout pioneers including CD&R and KKR, along with global private equity firms whose names are synonymous with investment excellence, from Apax Partners, Ares, Carlyle and Cinven to EQT, HIG, Oakley and Permira.
Private equity buyout funds account at present for more than 60% of Moonfare’s assets under management.
Moonfare has also planted its flag in the technology sector, giving individuals exposure to the fastest-growing industry worldwide through top fund managers with different areas of focus (e.g. software, healthcare) and strategies (buyouts, growth equity, venture capital). Moonfare has offered its investors funds managed by Foresite Capital, Founders Fund, Insight Partners, IVP, Lerer Hippeau, Silver Lake Partners, Vista Equity Partners and Warburg Pincus.
Technology funds account at present for more than 25% of Moonfare’s assets under management.
New Asset Classes and Products
Diversified private equity products, including secondaries and co-investment funds from top fund managers like AlpInvest and Lexington Partners, round out Moonfare’s fund offering.
Moonfare has also recently added funds that cover private markets categories like infrastructure and distressed debt and offer distinct advantages to investors in the current macroeconomic environment.
Investor Growth and Repeat Investments
At present more than 1,000 investors have allocated capital to private markets funds using Moonfare’s platform. These investors on average have committed around €500,000 across the positions in their portfolios.
Clients are also increasingly interested in seizing the benefits of a diversified portfolio. More than 40% of Moonfare investors have invested in more than one fund on the platform. More than 25% have invested in three or more funds.
Moonfare’s three best quarters for registrations have all come since the onset of Covid-19 in 2020, a reminder of the power of digital business models in the age of social distancing. Moonfare expects its completely digital onboarding and subscription process to become the new industry standard.