Individuals arouse the lust of managers of private assets. Flexstone Partners, an affiliate of Natixis IM (BPCE group), has just released its first fund for this clientele, designed for life insurance and retirement savings plans. Named FlexStone Private Equity Opportunities FCPR, this product is a fund of “Evergreen” funds, that is to say that it is without limited and semi-liquid duration thanks to a quarterly exit door.
The investment strategy consists in selecting funds from Pure Private Equity, on the primary and secondary market, supplemented by co-investments, with a target of 70 % on Europe and 30 % on the United States. This approach offers him a large diversification, with an exposure to more than 300 underlying companies around the world. “At start -up, we favor secondary operations that will allow investors to immediately benefit from an already formed portfolio,” explains Benoît de Kerleau, Managing Partner by Flexstone Partners.
Another peculiarity: the vehicle has reduced the cash flow pocket so as not to erode performance. “It is allowed by our fundraising strategy because it is easier and easier to sell funds than live holdings,” continues Benoît de Kerleau. The portfolio will nevertheless include 15 to 20 % cash to deal with exit requests. The performance objective is set at 12 % per year, an ambitious level while the financial market authority indicates that the “Evergreen” funds reported, on average, 6.20 % in the past.