13About the report
Our annual fund activity report shows how investors are reshaping their private market portfolios for the new reality.
Key takeaways
Rise of private credit: Private credit saw a notable rise in interest among Moonfare investors, growing from 2.6% in 2022 to 10.6% in 2023. The credit’s recent appeal largely stems from relatively high yields offered by floating-rate private credit loans.
Buyouts remain the go-to strategy: Buyout funds continue to dominate Moonfare's platform activity, capturing 63% of all capital commitments in 2023, up nearly 10 percentage points from the previous year. This trend mirrors the global market, where buyout funds saw an 18% increase in capital raised year-over-year.
Growth strategies decline further: Growth-oriented strategies have seen a decline, with only 5.2% and 8.3% of Moonfare's capital directed to growth equity and venture capital funds, respectively. This decrease is largely driven by rising interest rates and declining tech stock valuations.
Younger investors eye private equity: Investors under 35 are becoming more prominent, contributing nearly 13% of all commitments on Moonfare’s platform in 2023, up from 5% in 2020. This shift is driven by millennials' growing wealth, longer investment horizons and a higher risk tolerance compared to older generations.
- 1 Minimum investment may vary by country and local regulation.
- 2 Source: McKinsey "Private Markets Annual Review 2022"
- 3 Past performance is no guarantee of future returns.