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FUNDRAISING NEWS | August 20, 2025
Dakota has released its inaugural Software & Technology Transactions Report for July 2025, providing timely insights into capital deployment, large-scale M&A, and strategic activity across AI, cybersecurity, connectivity, and enterprise software.
This month’s report highlights landmark transactions, including multi-billion-dollar acquisitions by Synopsys, Palo Alto Networks, and Blackstone, and tracks the growing investor focus on foundational AI, agentic software, and secure digital infrastructure.
Download the July 2025 Software & Technology Transactions Report
Endowment Liquidity Squeeze Fuels Shift to OCIOs, Secondary Sales, Evergreens
As liquidity pressures mount across the US endowment landscape, smaller institutions are increasingly leaning on OCIOs and secondary market sales, while private credit strategies – especially evergreen fund structures – emerge as favored tools for maintaining exposure amid fiscal constraints.
According to the Cerulli Edge US Institutional Edition, 3Q 2025, a confluence of proposed endowment tax hikes and stalled federal funding is driving a reassessment of the Yale-style endowment model, particularly among institutions operating with reduced scale and resources to ride out market and policy volatility.
“Liquidity has become a major concern for higher education institutions of all sizes,” Cerulli said, with analyst Agnes Ugoji noting that “mid-sized and smaller endowments lacking scale and internal resources could fall behind” where larger institutions are better positioned to withstand challenges.
In response, smaller endowments – defined as those with $100M to $500M in AUM – are expected to fuel near-term growth in the outsourced CIO market. OCIOs not only bring needed scale and infrastructure, but also tax planning capabilities that are now in high demand. “The proposed taxes are an incredible game changer because the OCIOs and the trustees haven’t had to make decisions based on the tax consequences,” an unnamed OCIO search consultant said in the report. “Are you going to hire an OCIO? Or are you going to change your OCIO because they’re better at handling taxes?”
Endowment tax reform proposals under discussion include a tiered rate structure ranging from 4% to 21%, or an 8% cap for the wealthiest institutions. In parallel, several federal research grants have been frozen at universities such as Harvard, Columbia, and within the University of California system. This double bind is prompting some elite schools to monetize private equity holdings via secondary markets – Harvard and Yale are reportedly near finalizing sales of $1B and $2.5B, respectively.
This shifting landscape is also spurring innovation in fund structures: The report found growing institutional interest in private credit evergreen funds, which offer “a mechanism through which investors can maintain their private credit allocations over the full lifecycle.” Unlike drawdown vehicles, evergreen funds are seen to allow for faster deployment, intermittent cash flows, and potentially reduced J-curve effects, while also potentially providing fee advantages, particularly for institutions willing to anchor new strategies.
Despite representing just 3% of the institutional market today, endowments are projected to grow AUM at a sector-leading 8% CAGR over the next five years. With a growing client segment, Cerulli advised OCIOs, consultants, and asset managers to tailor offerings to reflect increasing demand for liquidity management, tax-efficient structuring, and differentiated access. Ugoji expressed that “asset managers looking to tap into the endowment sector should focus on establishing relationships with OCIO providers, particularly during changing financial and regulatory environments.”
“Firms that are well-equipped to assist with the ongoing challenges of today’s investment and regulatory environment should clearly emphasize and highlight these services to attract new clients,” the analyst said.
Virginia Retirement Adds $1.8B in Alts, Ends $334M Public Equity Mandate
The Virginia Retirement System disclosed $1.8B in new commitments made from March to June across its private equity, real assets, and credit portfolios, including $300M to Advent International GPE XI and another $20M to its companion fund Advent Global Technology III in private equity, as well as $250M each to KKR IVY III and Sixth Street Opportunities Partners VI in private credit. Additionally, the pension terminated its $334M public equity mandate with Jackson Square. Source
Phoenix Group Plans £3B Private Credit Push, Adds £1B via Schroders JV
UK-based insurer Phoenix Group is reportedly deploying at least £3B ($4.1B) into private credit in 2025, with around 40% earmarked for infrastructure. The firm is expanding its private credit team to manage investments across infrastructure, corporates, financials, fund finance, and housing associations, while also committing £1B ($1.4B) through its joint venture with Schroders for its DC and with-profit funds. Source
Challenger Life Awards $1.4B Property Mandate to Charter Hall
Australian insurer Challenger Life appointed Charter Hall Group to manage a AUD 2.1B ($1.4B) portfolio of direct domestic property assets. The mandate comes alongside the launch of the AUD 2.5B ($1.6B) Charter Hall Convenience Retail Fund. Source
NY State Deferred Comp Retains Impax for ESG Global Equity Fund
The New York State Deferred Compensation Board confirmed to Dakota that it rehired Impax Asset Management to manage its ESG active global equity fund following a competitive search, awarding the firm an eight-year contract beginning March 1, pending legal negotiations. The Impax GEM fund, which was set to expire under its current mandate in February next year, holds about $114.6M in assets. The decision followed an RFP issued in May, with Callan assisting in the review and finalist interviews. Source
Louisiana State Police OKs $40M Allocation to Blue Owl PC Fund
The Louisiana State Police Retirement System approved a recommendation by investment staff to commit $40M to Blue Owl’s first lien private credit fund, following manager presentations. Golub Capital was also considered for the mandate. Source
Franklin Regional Keeps Loomis Sayles as Core FI Manager
The Franklin Regional Retirement System voted to retain Loomis Sayles as its core fixed income investment manager for another seven-year term, affirming recommendations from investment staff and Dahab Associates. Source
Milliman: Multiemployer Pensions Achieve Full Funding at Mid-2025
US multiemployer DB pensions have reached full funding at 100% as of June 30, up from 97% at the end of 2024, according to Milliman’s midyear 2025 Multiemployer Pension Funding Study. The improvement reflects a $26B swing from deficit to surplus, supported by a 6.1% investment return in the first half of the year and nearly $73B in special financial assistance distributed under the American Rescue Plan Act. Source
UK BPA Market Records 137 Deals in H1, Projects Increased Volume in H2
The UK BPA market reportedly remained active in the first half of 2025, with Aon reporting 137 transactions covering approximately £10B ($13.5B) of liabilities and exceeding the number of deals completed in the same period last year. Smaller schemes under £100M ($134.9M) continued to account for most activity, with Aviva and Just Group completing more than 70% of deals in this range. Aon noted that market volumes in the second half of the year are expected to be supported by several large transactions, including the £4.3B buy-in between Pensions Insurance Corporation and Rolls-Royce. Source
Deutsche Telekom Pension Liabilities Drop €1B in H1 2025
Deutsche Telekom’s pension liabilities are said to have fallen by €1B ($1.2B) year-on-year in the first half of the year, reaching €2.2B ($2.6B), attributed to higher discount rates and stronger capital market performance which also lifted its DB plans by €900M ($1.1B). Source
Cresset Expands in Institutional Market With Monticello Merger
$72B Chicago, IL-based RIA Cresset plans to merge with Monticello Associates, a Denver, CO-based independent investment consulting firm – the latest example of RIAs building out their institutional client business.
Monticello, which has $124B in non-discretionary assets under advisement, provides non-discretionary investment advisory services to foundations, endowments, and family offices.
The combination would create a firm with nearly $200B in assets and broaden client access to prominent fund managers in public and private markets. It also positions Cresset to expand into the institutional advisory market, reflecting a broader trend of RIAs increasingly targeting institutional clients.
A recent example of the trend includes SageView Advisory Group’s acquisition of Capital Strategies Investment Group, an institutional retirement plan and wealth management consultant based in Oakbrook Terrace, IL. Additionally, late last year, Hightower acquired a majority stake in investment consultant and OCIO provider NEPC, and in February 2024, Mariner Wealth Advisors purchased two institutional consulting firms – AndCo Consulting and Fourth Street Performance Partners – in a single transaction.
The planned partnership will expand resources available to clients across both firms, Cresset President Susie Cranston told WealthManagement. She added that the RIA push into the institutional market is likely to continue because it enhances client service and broadens capabilities. In the press release announcing the deal, Cresset co-founders Avy Stein and Eric Becker said the deal will increase client access to investment opportunities while preserving the firms’ boutique approach to service, while Monticello founder and executive chairman Grady Durham said the combination strengthens the firm’s research capacity, global reach, and client alignment.
Founded in 2017, client- and employee-owned Cresset has 468 employees, including 191 investment advisory representatives, according to its most recent Form ADV. The firm reported $70.4B in assets under management, of which $68.9B are discretionary, plus $52M in non-U.S. regulatory AUM and $2.3B under its wrap fee program. Its advisory business operates under the names Cresset Sports & Entertainment, CH Investment Partners, and Cresset Capital, with offices across 15 US states.
Monticello, founded in 1992 by Durham, advises 175 long-term clients and has offices in Cleveland, OH; Boston, MA; and Washington, DC. As part of the deal, Monticello’s 58 employees will join Cresset.
Financial and legal terms of the deal, expected to close later in 2025, were not disclosed.
EP Wealth Kicks Off Capital Raise
EP Wealth Advisors has reportedly secured William Blair and Houlihan Lokey to raise funds from outside investors. The $36.4B California RIA is currently backed by Wealth Partners Capital Group and Berkshire Partners, with Berkshire planning to retain its investment and WPCG expected to exit via the capital raise. Source
Merit Financial Closes on $860M Global Wealth Advisors
Constellation Wealth Capital-backed Merit Financial Advisors acquired $860M Global Wealth Advisors, expanding its footprint in Lewisville, San Antonio, Angleton, and Snyder, TX; Naples, FL; and Canonsburg, PA. Along with a team of 14 advisors and client support staff, global wealth president Kris Maksimovich and managing partner Chris Powers will join Merit as regional directors and partners. The financial and legal terms of the deal, which closed on Aug. 18, were not disclosed. Source
Concurrent Stakes Catherine Avery of SW Florida
Concurrent Asset Management, the asset management arm of Concurrent Investment Advisors, has taken a minority stake in Longboat Key, FL-based Catherine Avery Investment Management (CAIM), an independent investment manager specializing in managing customized investment portfolios for women and retirees, according to an August 18 Form ADV filing by CAIM. In the filing, the firm disclosed managing $178.9M in regulatory assets, of which $68.6M was for 48 high net worth individuals and $110.2M was as a third party sub advisor. Source
Mission Wealth Acquires $50M San Francisco Firm
Santa Barbara, CA-based Mission Wealth acquired entrepreneurial financial planning firm Hamilton Walker Advisers. San Francisco-based Hamilton Walker reported $50M in regulatory assets under management in its most recent Form ADV. Mission Wealth said the deal brings its AUM to over $12B. Source
Stifel Adds $582M Firm in GA
Stifel added Knox Financial Group in Augusta, GA. The firm – which oversees $582M in client assets – is led by Charlie Knox and includes advisor Lee Knox. Source
New Jersey Advisors Transition to Osaic’s W-2 Model
Whitehouse Station, NJ-based Schaible Russo Financial joined Osaic’s W-2 model, transitioning from its previous 1099 affiliation. The firm is led by Tom Schaible and Al Russo and oversees approximately $450M in client assets. Source
Commonwealth Team Moves to RayJay in CT
Three former Commonwealth Financial advisors in Wallingford, CT, have joined Raymond James Financial Services – Raymond James’ independent advisor channel. The team – operating as Lobo & Pascale Wealth Management and made up of Jeremy Lobo, Chris Pascale, and Michael “Mike” Mendillo – managed over $300M of assets at Commonwealth. Source
New York Team Leaves Ameriprise to Join LPL
Westbury, NY-based Zarra Wealth Management joined LPL Financial’s broker-dealer, RIA platform. The team, which consists of Christopher Zarra, James Kelly, and Michele Welch, comes from Ameriprise, where it served $270M in advisory, brokerage, and retirement plan assets. Source
US Bank Private Wealth Management Adds Portfolio Manager in NV
US Bank Private Wealth Management hired Tyler Youngberg as a portfolio manager. Based in Reno, NV, Youngberg was previously a portfolio manager at Whittier Trust Company. Source
Farther Institutional Promotes Exec to CIO
Technology-centric wealth management firm Farther Institutional promoted Sutanto Widjaja to CIO. Widjaja was previously senior vice president at the firm, managing endowment style portfolios for high net worth families and institutions. Source
Simon Quick Advisors Names Head of Family Office
Simon Quick Advisors named Benjamin Renzo as managing director and head of family office. Renzo previously served as founder and managing partner of Premier Family Office. Source
BlackRock Expanding Secondaries Platform to VC
BlackRock is planning to expand its secondaries platform with the launch of a new fund targeting LP stakes in existing venture capital funds.
Earlier in August, the world’s largest asset manager filed with the SEC for BlackRock Secondaries & Liquidity Solutions Growth & VC (Cayman) LP, indicating it had not yet begun accepting capital for the fund but expected fundraising efforts to last more than a year. BlackRock executives Jarid Colucci, Derek Krouner and Lisa Sun will oversee the new fund, according to the filing, with Bloomberg reporting it will focus on secondhand venture stakes.
Through the BlackRock Secondaries platform, the firm provides liquidity to investors and managers worldwide through the acquisition of existing interests in funds and companies in the private market. On its website, BlackRock touts portfolio diversification, attractive pricing and shorter holding periods as some of the leading benefits of secondary market exposures for prospective investors.
BlackRock is launching the new VC secondaries fund amid a positive outlook for the secondaries market this year on the back of a record year for secondary market transactions in 2024. Optimism is also high in the VC pocket of the secondaries market as investors seek alternatives to traditional exits, even at higher discounts.
"With the markets opening back up and some normalization in financing trends, venture investors are happy to provide some liquidity to founders to alleviate built-up financial pressure, even if that means the secondary comes at a discount to the actual financing round valuation," Joseph Morrison, a partner in and the emerging companies and venture capital chair of law firm Barnes & Thornburg, recently told Chief Investment Officer.
In its The Case for Secondaries report, BlackRock noted that it expects continuous short- and long-term growth for the global secondary market, citing unrealized private markets assets, strong primary fundraising, emerging transaction types, and an attractive market structure.
For 2025 through 2030, BlackRock is aiming to raise $400B from its private markets fundraising. The firm’s latest secondaries offering reportedly did not perform as well as expected, with BlackRock Secondaries & Liquidity Solutions II closing at $2.5B in July against a reported $4B target.
Anchorage Capital Closes Oversubscribed Credit Opportunities Fund
Anchorage Capital completed the fundraise for Anchorage Credit Opportunities Fund IX with $1.5B in capital commitments, marking an oversubscription from the original hard cap of $1.25B. The fund, which targets stressed and distressed credit assets in the US and Europe, received $175M from the Connecticut Retirement Plans and Trust Funds and $30M from the Metropolitan Government of Nashville & Davidson County Employees Benefit Trust Fund, according to Dakota data. Source
Bluefront Equity Raises Over $100M at Final Close of Second Impact Fund
Norwegian seafood investor Bluefront Equity completed the fundraise for its second impact fund with more than $100M of total capital commitments from investors including the European Investment Fund, Novo Holdings, and the Esmée Fairbairn Foundation. Bluefront Capital II – which focuses on ocean health, fish welfare, and resource efficiency – closed with three investments completed in Cryogenetics, Horizon Software, and Piscada. Source
India Secondaries Fund Holds First Close
Hitesh Ahuja, co-founder and managing partner of PixelSky Capital, shared via LinkedIn post that the initial closing of the secondaries investment firm’s new fund raised INR 1.50B ($17.2M), bringing it closer to a target of INR 4B ($46M). The fund lists boutique investment bank IndigoEdge as one of its backers. Source
Qiming Venture Trims Target for China-focused AI, Healthcare Fund to $600M
Qiming Venture Partners reportedly lowered its target for a new China-focused artificial intelligence and healthcare venture capital fund to $600M from $800M amid uncertainty in the market. Unnamed sources cited investors’ preference for smaller pooled investment funds for the target revision, with the report noting that terms of the transaction remain subject to further change. Source
Advance VC Secures Backers for New VC Secondaries Fund
Melbourne-based Advance VC reportedly secured backers for its planned new fund that will acquire venture capital interest in existing VC funds. The firm, Australia’s first to focus VC fund secondaries, received commitments from Stake founder Matt Leibowitz and Decjuba owner Tania Austin for the new investment vehicle. Source
Sosteneo Closes First Fund at €620M, Launches €1B Second Fund
Sosteneo Infrastructure Partners closed its inaugural fund, Sosteneo Clean Energy Infrastructure Fund, with anchor investment from Generali Investments, raising €620M ($724.5M) in capital commitments, along with €80M ($93.5M) of co-investment capital. The specialist investment manager is looking to double its AUM with the launch of Sosteneo Clean Energy Infrastructure Fund II, which has a target of €1B ($1.17B). Source
Greystone Closes Affordable Housing Fund at $103M
Greystone Real Estate Capital completed the fundraise for its low-income housing tax credit fund with $103M in total capital earmarked for the development of nearly 1,000 affordable housing across 11 properties in six US states. Greystone Affordable Housing Fund received commitments from seven institutional investors in the financial and insurance sectors. Source
Ares Opens Core Infrastructure Fund to Retail Investors in Australia
Ares Management opened up its Ares Core Infrastructure Fund strategy to wholesale and advised retail clients across Australia. The strategy provides investors with access to a US-regulated business development company with a portfolio of operating infrastructure assets and a total AUM of AUD $1.8B ($1.17B) as of July 1. Source
Vistria Group Names Ex- Campbell Lutyens Partner as Head of Capital Formation
Middle-market private investment firm The Vistria Group appointed Rishi Chhabria as head of capital formation. Chhabria is a former Campbell Lutyens partner, where he developed the firm's distribution capabilities worldwide. Source
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