Schroders Capital launches two ELTIF private equity funds
31 JUL, 2025
Schroders Capital has launched two new European Long-Term Investment Funds (ELTIF), which add to its current set of private market solutions for private banking investors.
The first ELTIF (Schroders Capital Semi-Liquid Global Private Equity ELTIF) is an evergreen fund with regular subscriptions and redemptions, while the second (Schroders Capital Global Direct IV Access), is a closed fund that invests jointly with the firm's flagship global co-investment fund. Both funds have similar strategies and invest in small and medium-sized acquisitions in North America and Europe. With these launches, Schroders Capital reaffirms its leadership as a provider of innovative private market solutions for a broader segment of the investment community, making the advantages of private equity accessible to both professional and non-professional investors.
Schroders Capital Semi-Liquid Global Private Equity ELTIF
The Schroders Capital Semi-Liquid Global Private Equity ELTIF leverages the new, more flexible ELTIF 2.0 regulatory framework, and builds on the success of the renowned Schroders Capital Semi-Liquid Global Private Equity fund, which was launched in 2019 and now has a size of over $2.4 billion with investors from around the world. One of the main reasons for the success has been the fund's track record, with an annualized return of 14.3% since its inception and an attractive portfolio of small and medium-sized companies in North America and Europe. The ELTIF's investments will be made primarily through GP-led co-investments and secondary stakes, which constitute an effective and fee-efficient means of investing in private equity. The Global Private Equity ELTIF will invest alongside the flagship Global Private Equity fund.
Thanks to its evergreen structure, the new fund combines the advantages of institutional experience in private markets with a flexible structure that allows for monthly subscriptions and quarterly redemptions.
Schroders Capital Global Direct IV Access
Schroders Capital Global Direct IV Access invests jointly with Schroders Capital's prestigious co-investment fund, Global Direct IV, which has about $700 million in commitments from institutional investors and has already made several investments. The ELTIF offers high net worth investors a means to invest in the fund through a structure more suitable for private clients, but without the additional fee levels that have been associated with other feeders. The Global Direct IV Access has a duration of 9 years, making it ideal for long-term savings plans.
In line with Schroders Capital's commitment to responsible investment, the two new ELTIF funds are classified as Article 8 under the EU Disclosure Regulation (SFDR). The minimum investments are 10,000 euros for the Schroders Capital Semi-Liquid Global Private Equity ELTIF and 25,000 euros for the Schroders Capital Global Direct IV Access.
There is growing interest in investments in the private market, even among private investors, for whom there were previously no investment opportunities in these markets or these were limited. Fortunately, this is changing. With the flexible structure of our new ELTIF funds, we are contributing to greater democratization of private markets in Europe. Investments in private markets are suitable for inclusion in many investors' portfolios from a profitability and diversification perspective. They have a stabilizing effect by presenting a low correlation with listed securities and offer access to long-term growth opportunities.
Georg Wunderlin, CEO of Schroders Capital
Private equity has historically been a source of strong potential profitability, both in favorable and difficult market environments. Over the past 25 years, our studies show that private equity returns in the small or medium-sized business segment have generally outperformed those of public markets, being twice as high in bear markets. In addition, as companies stay longer in the private sector, there is a vast investment universe that is increasingly difficult to access solely through listed markets. Through our new ELTIF funds, we offer access to this attractive market segment to a broader layer of investors, leveraging our extensive experience in selecting and building private equity portfolios.
Benjamin Alt, Head of Global Private Equity Portfolios at Schroders Capital
