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FUNDRAISING NEWS | September 09, 2025
Tags: Dakota Marketplace
Investors in August prioritized durable yield and scaled innovation, with over $2.7B committed to private real estate and $8.3B raised by OpenAI alone. The August 2025 Dakota Monthly Roundup tracks allocator moves across real estate, private credit, and venture capital; highlighting how institutions are positioning for late-cycle stability and long-term growth.
Download the full report to see where capital is moving, and why.
AI, Income, Diversification Top Largest Pension Priorities
The world’s 300 largest pension funds grew their combined assets to $24.4T in 2024, according to the latest annual survey from the Thinking Ahead Institute and Pensions & Investments. Despite a slower year-on-year growth rate of 7.8%, down from 10% in 2023, the report paints a picture of pension giants navigating growing operational complexity, rising tech adoption, and shifting investment expectations amid stubborn market concentration.
The top 20 funds, which alone account for 42.4% of total AUM, posted 8.5% growth, outpacing the broader group. The Government Pension Fund of Norway overtook Japan’s GPIF to claim the top spot, with $1.77T in assets. Meanwhile, the US remains the dominant market, representing 41.4% of total AUM and 153 of the top 300 funds.
For alternative investment managers, the most telling finding may be what hasn’t changed: equities continue to dominate portfolios. Among the top 20 funds, weighted allocations averaged 54.7% to equities, 29.8% to bonds, and just 15.5% to alternatives and cash. North American funds showed the highest alternatives exposure at 30.6%, well ahead of Asia-Pacific and European peers.
That leaves plenty of room for growth but also indicates that alternatives remain a minority slice despite the size and maturity of these institutions. Notably, the report shows only marginal shifts in allocation patterns over the past five years.
Defined contribution (DC) assets now make up nearly 30% of total AUM in the top 300 – and as much as 58% in the top seven pension markets, based on companion GPAS data. Yet the report finds that “retirement income remains an unsolved challenge,” and “60% of global peers [identified] it as the sector’s biggest challenge over the next decade.”
The authors highlight regulatory moves in the UK and Australia as pushing DC schemes beyond accumulation, with funds beginning to explore lifetime income solutions. While flexible drawdown options are common and lifetime income products are emerging in countries like Australia and Canada, the report notes that “eliminating longevity risk for members remains complex and largely unaddressed.” For private credit, infrastructure, and income-focused secondaries, this may represent an opening if products can be tailored to the post-retirement income need.
One trend gaining clear momentum is technology investment. “59% of DC peers allocate more than 10% of their internal budgets to technology,” and nearly half expect that share to grow. AI, in particular, is being leveraged for both member engagement and real-time portfolio management.
Ten of the top 20 funds explicitly referenced growing AI capabilities. One, AustralianSuper, remarked: “The technology boom, particularly in the field of artificial intelligence (AI), is a megatrend impacting economies and investment strategies globally.”
Finally, the report flags extreme concentration in US equities, with US markets now representing 70% of the MSCI World Index, and the “Mag 7” stocks alone accounting for 23% – both record highs. “Following the index challenges the key principle of portfolio construction to diversify,” the authors warn.
Illinois TRS Commits $690M to PE, Real Assets
The board of trustees of the Teachers’ Retirement System of the State of Illinois approved approximately $390M in new commitments within its $13B private equity portfolio and $300M in commitments within its $12.7B real assets portfolio. In private equity, new commitments were made to Sterling Investment Partners, Charlesbank Capital Partners, Arlington Capital Partners, Sofinnova Ventures, and Advent International, with Sterling representing a new relationship for the pension and Arlington receiving the largest commitment at $150M. In real assets, the pension committed $100M to Covenant Capital Group and $200M to Blackstone, with Covenant representing a new relationship. Source
Texas CDRS Invests $250M in Sixth Street, Bayview Credit Funds
The Texas County & District Retirement System disclosed a $150M commitment to Sixth Street Opportunities Partners VI, a special situations private credit fund, and a $100M commitment to Bayview Opportunity Fund Domestic VII, in the pension’s latest activity update. The Sixth Street investment marks the pension’s first in distressed debt in 2025, while the Bayview commitment is Texas CDRS’ second to strategic credit this year. Source
PIF, Macquarie Enter MOU for Infra, Energy Investments
Saudi Arabia’s Public Investment Fund and Macquarie Asset Management have entered into a memorandum of understanding through which the pair will explore potential joint investments in the infrastructure and energy transition sectors, including digital infrastructure, electric vehicle infrastructure, and energy storage. Macquarie will in turn seek to open a regional office in Riyadh to support the venture. Source
NZ Super Targets Domestic Infrastructure Investment
The $50B New Zealand Superannuation Fund is reportedly seeking opportunities to invest in domestic infrastructure projects alongside other international and domestic investors, with Jo Townsend, CEO of fund manager Guardians of New Zealand Superannuation, expressing particular interest in road projects. Source
Mass Water Picks PennantPark for $14M Opportunistic Credit Mandate
The board of Massachusetts Water Resources Authority Retirement System selected PennantPark Senior Credit Fund II as the winner of a $14M mandate in the conclusion of a private opportunistic credit search in which Blue Torch Capital, EnTrust Global, Mesirow, and Oaktree Capital were also considered. Consultant NEPC assisted with the search and final selection. Source
Railpen Names Head of Infrastructure
Railpen, which manages £34B ($46B) for UK Railways pension schemes, promoted Lewis Vanstone to head of infrastructure, an asset class to which the manager continues to increase allocations and currently allocates approximately £1.2B ($1.6B). Lewis joined Railpen in 2019, and since then has played “a central role in expanding Railpen’s infrastructure portfolio across renewable energy, energy storage, waste collection, hospitals and other essential infrastructure projects.” Source
UK Gov’t Appoints Secretary of State for Work and Pensions
The UK government announced that Pat McFadden, MP for Wolverhampton South East since May 2005, has been appointed Secretary of State for Work and Pensions, which is responsible for administering the state pension system. Source
Oregon PERF extends Meketa as Real Estate Consultant
The Oregon Investment Council approved a two-year contract extension for Meketa as consultant for the Oregon Public Employees Retirement Fund’s real estate portfolio, effective July 1 and running through June 30, 2027. Source
Trade Groups Push DOL for Private Market Investments Guidance
Executives from the American Retirement Association, Financial Services Institute, HR Policy Association, and National Association of Professional Employer Organizations, which represent plan sponsors in the US, sent a letter to the Department of Labor asking it to “swiftly provide sub-regulatory guidance” on making private market investments available to 401(k) plan participants and “promptly follow up with notice-and-comment rulemaking.” Source
UK DB Pension Surpluses Hit Record £223B
XPS Group reported that the aggregate surplus of UK pension schemes reached a record of £223B ($301.9B) at the end of August, up £50B ($67.7B) in just the past six months, as schemes not fully hedged against interest rate changes benefited from a significant rise in gilt yields, leading to the value of liabilities decreasing by more than scheme assets. Source
Asia Alternatives Boom Meets Infrastructure Strain
Across Singapore and Hong Kong, demand for alternatives is booming, yet operational friction and outdated technology are threatening to choke off growth. That’s the key message from iCapital’s 2025 Asia Global Advisor Survey, which paints a picture of markets at once flush with demand and grappling with execution hurdles.
The report underscores how the conversation in Asia’s wealth hubs has shifted decisively from why clients should hold alternatives to how firms can scale allocations, tailor portfolios, and deliver efficiently. More than a third of advisors across the region say client appetite is climbing, but larger institutions face a more urgent mandate: to build infrastructure that keeps pace.
In the survey, 100% of respondents from the largest firms and 64% of private banks reported rising client interest, and the momentum is showing up in allocation plans. Smaller firms managing under $400M expect to boost exposure by about 8%, while private banks anticipate increases as high as 22%. Larger players are keeping allocations relatively steady, leaving space for smaller, more agile competitors to carve out market share.
Private credit is emerging as the asset class of choice. Around 71% of respondents cited growing interest in credit strategies, edging out hedge funds at 70% and private equity at 68%. The tilt toward credit highlights investor appetite for yield, income stability, and shorter-duration opportunities compared with traditional buyout funds.
Advisors also reported strong demand for thematic and innovative allocations. Artificial intelligence tops the list, with 60% of clients showing interest, followed by fractional ownership at 52%. Energy transition and blue economy themes are also on the rise, and even niche segments such as royalty streams are gaining traction. Together, they signal a willingness among Asia’s wealthy to embrace differentiated and forward-looking exposures.
Another notable trend is the growing role of evergreen structures. Most advisors expect client exposure to rise to 11% to 15% of portfolios, with single-family offices and individual financial advisors leading the way. Evergreen funds’ appeal lies in their liquidity, smoother capital calls, and ability to provide continuous access.
But operational friction is holding back momentum. Advisors identified client reporting as their most significant pain point, followed by difficulties with access, complex documentation, and regulatory constraints. When asked about priorities, they pointed to the need for better risk and exposure analytics, more transparent performance reporting, stronger data reconciliation, and automation of client onboarding. Real-time valuation of private assets is another pressing requirement.
Portfolio construction approaches remain fragmented. About half of firms use in-house models, while others rely on outsourced turnkey platforms, third-party managers, or investment committees. This variety underscores the need for infrastructure that can support multiple execution pathways and integrate seamlessly with existing platforms.
Educational needs are evolving too. Foundational training in alternatives remains important, but advisors are increasingly seeking guidance on technology adoption, operational execution, and practice management, reflecting a move from theoretical understanding to practical delivery.
Taken together, the survey depicts a market at inflection. Alternatives are firmly embedded in the client conversation, but Asia’s advisors must overcome significant operational barriers to meet rising demand. Firms that can streamline reporting, enhance risk visibility, and offer innovative products will be best positioned to capture the next phase of growth.
LPL Advisor Launches Independent RIA in Salem, MA
Financial advisor Barbara Maitland launched Rothwell Investment Advisors, d/b/a Maitland Financial Group, as an independent RIA in Salem, MA. Maitland has been affiliated with Flagship Harbor Advisors and LPL Financial for the past 12 years. The firm has engaged LPL as custodian. Source
Former Helium Advisors CIO Registers RIA in Lafayette, CA
Former Helium Advisors CIO Cyrus McDonald Amini registered Hyphen Wealth Management as an independent RIA in Lafayette, CA. Before Helium Advisors, Amini was affiliated with Highline Wealth Partners. Source
Parkwoods Wealth Grabs IN-based $350M Shoreline Wealth Advisors
St. Louis, MO-based Parkwoods Wealth Partners acquired Shoreline Wealth Advisors, a New Castle, IN-based RIA with $350M in assets under advisement. The deal, which closed on Aug. 1, also includes Shoreline’s affiliated tax preparation firm Shore & Co. Shoreline is led by founder Bud Shore and co-owner Jay Bumbalough. Source
$1.8B UBS Team Moves to LPL
A team of five UBS advisors launched independent practice Decorum Wealth Management with LPL Financial's supported independence model LPL Strategic Wealth. The team, which comprises Ronald Ewing, Edward Macha, Alex Pittz, Brian Gudgel, and Andrew Curiel IV, reported serving $1.8B in advisory, brokerage, and retirement plan assets. Source
Ohio Wealth Practice Leaves McDonald Partners for Wedbush Securities
Cleveland, OH-based Goodman Wealth Advisors joined the independent franchise owner network of Wedbush Securities from McDonald Partners. The firm is led by chairman and CEO John Goodman and includes Jared Goodman, managing director of investments. Source
NH-based Advisor Joins Sanctuary Wealth Network
Portsmouth, NH-based financial advisor Richard LeSavoy joined Sanctuary Wealth’s network through partner firm Centeras Private Wealth. With the addition of LeSavoy, who was previously affiliated with Lincoln Investment, Centeras will manage $175M in total client assets. Source
RIA Platform Realta Wealth Names President
Wilmington, DE-based independent broker-dealer and RIA platform Realta Wealth appointed financial services veteran Scott Smith as president. Smith, who previously served as the CEO and chairman of FactRight, will focus on Realta's next phase of expansion, including scaling its alternative investment platform. Source
Stephens Private Wealth Names Chief Tax, Wealth Planning Strategist
Little Rock, AR-based Independent financial services firm Stephens appointed Jason Thomas as managing director, chief tax and wealth planning strategist. Thomas will lead the wealth planning and strategy group within the Stephens Private Wealth Management division. Previously, Thomas was a tax partner at Frost PLLC. Source
Northern Trust Wealth Names Ohio Market President
Northern Trust Wealth Management appointed financial industry veteran Gary Poth as president of the Ohio market, succeeding Michael Cogan, who will remain engaged in the business until his retirement on June 1, 2026. Most recently, Poth led the ultra-high-net-worth and multi-family office division at Key Private Bank. Source
Stonepeak Scales With PE-Like Infrastructure Playbook
From its establishment in 2011, Stonepeak has grown into a $76.3B infrastructure investing heavyweight by applying a hybrid model that borrows the best of private equity and credit investing. For Co-President Luke Taylor, the firm’s differentiated performance comes down to staying scrappy, thematic, and disciplined – especially when capital floods into the asset class.
Speaking on the Alt Goes Mainstream podcast, Taylor laid out the firm’s philosophy for investing across transport, energy transition, and digital infrastructure. “You want to produce market-leading returns and differentiated returns. And if you just do what everybody else is doing, you're not going to differentiate yourself,” he said.
Taylor joined Stonepeak after a decade at Macquarie, where he developed a taste for entrepreneurial dealmaking in London and New York. That early experience shaped Stonepeak’s approach: deep sourcing networks, operational rigor, and a value creation mindset not always found in traditional infrastructure circles. “You’ve got to have a relentless drive to get to the outcome,” he noted. “It's a competitive market. You want to work harder than your competitors. You want to find situations where you can find good investments and have that true drive to do it and be absolutely focused on winning.”
Stonepeak’s investment teams draw on both private equity and credit disciplines. “And that credit hedge fund mindset of downside credit analysis I think is very critical,” Taylor said. “But on top of that, marrying it with the private equity-like value creation and being operationally intensive.” That includes a 25-person portfolio operations team and a focus on metrics – such as utilization, customer density, and logistics efficiency – that drive compounding returns over time.
The firm’s thematic flexibility has also helped it stay ahead of investor demand. While Stonepeak now has significant exposure to data centers, it passed on earlier opportunities that lacked barriers to entry or recurring cash flow. “You're trying to find the sort of nexus of the hub… what's the part that's going to capture the pricing power that people always have to use?” Taylor said, referring to the firm’s investments in carrier hotels.
He views infrastructure exposure as a downside-protected way to participate in long-term secular themes like AI. “The thematic’s great, you do fantastic. But if it’s not, you still make a pretty good return,” he said. That mindset – anchored on capital preservation first – is key to underwriting in a market where enthusiasm can inflate entry multiples.
Even as Stonepeak has scaled, Taylor warned against stretching too far up-market. “I don’t think you want to be so big that the assets become so large that you haven’t got the ability to ultimately exit them,” he said. Instead, the firm stays active in the middle market and the lower end of the large-cap spectrum, where deal sourcing remains more relationship-driven.
With transaction volume topping $20B in just two recent months, Stonepeak is also using that scale to build out its wealth management platform, Stonepeak Plus. “We’ve always wanted to be able to allow private wealth individuals to invest in infrastructure,” Taylor said. “If I could hold something forever, you know, in my 401k, what’s better than infrastructure?”
One Equity Partners Raises $3.25B for Largest Fund to Date
One Equity Partners raised its largest fund to date with $3.25B capital commitments secured for One Equity Partners IX, marking an oversubscription against a target of $2.75B. With backing from new and existing investors from more than 30 countries, the fund increased the middle-market private equity firm’s total AUM to $16B. Kirkland & Ellis provided One Equity with legal advice for the fundraising. Source
Rockbridge Growth Equity’s AUM Tops $1.7B as Third Fund Beats Target
Rockbridge Growth Equity Management closed its third fund closed oversubscribed at $360M against a $350M target, pushing its total AUM above $1.7B. RB Equity Fund III and related investment vehicles received commitments from new and existing investors looking to invest in the middle-market private equity firm’s core sectors of e-commerce and marketing services, financial services and financial technology, technology-enabled products and services, and digital media. Lazard served as the exclusive placement advisor for the fund, with Kirkland & Ellis as legal counsel. Source
Fremman Capital’s Second Fund on Track to Top €750M Target
Fremman Capital, a European mid-market firm spun out from PAI Partners, is reportedly on track to surpass the €750M ($880.5M) target for its sophomore fund, Fremman 2, which is expected to close in the fourth quarter. Source
Italy’s Banco BPM Invest Launches PE Fund for Primary, Secondary Deals
Italy-based Banco BPM Invest launched a private equity investment fund that will target opportunities in both the primary and secondary markets. The private equity opportunities fund is aiming to raise €290M ($340.7M), with €200M ($235M) raised so far, including anchor investment from Italian lender Banco BPM, the parent company of the fund manager. Source
TDR Capital Closes Continuation Fund for David Lloyd Leisure
British private equity firm TDR Capital closed a new continuation fund dedicated to David Lloyd Leisure, a UK-based operator of premium gyms and fitness clubs. The new fund, dubbed TDR Capital Titan, received commitments from investors including the Children’s Investment Fund Foundation, Coller Capital, S3, CVC Secondary Partners, and Hollyport Capital for its acquisition of a majority stake in David Lloyd from TDR Capital III and other investors. With its co-investors, the new fund intends to invest more than £100M ($135.4M) to support the expansion of the business. Source
Jerusalem Venture Partners Bags TPG Investment for Earnix Continuation Fund
Israeli venture capital firm Jerusalem Venture Partners closed a $290M continuation fund for insurance technology company Earnix with capital commitments from TPG’s TPG GP Solutions, Insight Partners, and other private investors. The new fund will hold a 54% stake in Earnix, which assists financial services providers in offering personalized products through the use of artificial intelligence and advanced analytics. Sources 1, 2
Greykite’s First Opportunistic RE Fund Hits $1.4B at Second Close
London-based real estate investor Greykite’s debut opportunistic real estate fund marked its second close with total capital raised at $1.4B. Greykite European Real Estate Fund I, which is expected to have its final close by mid-2026, received cornerstone investments from Capital Constellation and Leucadia Asset Management, the asset management arm of Jefferies Financial Group. Source
Morgan Stanley Closes Oversubscribed Japan RE Fund at $885M
Morgan Stanley completed the fundraise for its Japan-focused real estate fund with ¥131B ($885M) in total capital commitments, marking an oversubscription against an initial target of ¥75B ($507.8M). Morgan Stanley Real Estate Investing will oversee the deployment of the fund, which secured commitments from Japan’s Government Pension Investment Fund, as well as other Japanese financial institutions and foreign sovereign wealth funds. Source
Singapore’s Green Investments Partnership Raises $510M at First Close
Singapore’s financial regulator said the Green Investments Partnership secured $510M in committed capital at its initial close, with support from global and regional private, public, and philanthropic institutions including the Export Finance Australia, International Finance Corporation, the Dutch Entrepreneurial Development Bank, HSBC, Temasek, British International Investment, Bank of the Philippine Islands, and Allied Climate Partners. Green Investments, a blended finance partnership under the city-state’s Financing Asia’s Transition Partnership initiative, will provide financing for sustainable infrastructure projects across the Southeast and South Asia regions. Source
Property Developer HRP Group Targets $250M for Debut Value-add Fund
Hilco Global spun out its property unit HRP Group, which is aiming to raise $250M for its inaugural value-add investment fund. Roberto Perez, co-founder and CEO of the property complex developer, said the fund is expected to launch in the coming weeks. Source
GMI Capital’s Opportunistic Private Credit Fund Nears Completion
Houston-based GMI Capital Partners said the GMI Capital Fund Series I Opportunistic Private Credit Fund is scheduled to close on September 30. The fund, which will target assets worldwide, is being offered to institutional investors, family offices, and qualified investors, the alternative investment firm noted. Source
Accion Closes Venture Lab Fund II at $61.6M
Non-profit group Accion raised $61.6M at the final close of Accion Venture Lab Fund II, which will target early-stage financial technology companies that focus on financially underserved people. The fund received commitments from new and existing investors, including Dutch entrepreneurial development bank FMO, Proparco, ImpactAssets, Ford Foundation, MetLife, and Mastercard. Source
Hargreaves Lansdown, Schroders to Offer Private Assets to UK Retail Investors
British investment platform Hargreaves Lansdown has teamed up with wealth management firm Schroders Capital to offer private market investments to retail investors in the UK with self-invested personal pensions. The Schroders-managed long-term asset funds that will provide the pensions with private assets exposure will be offered in the platform beginning September 15. Source
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