– Schroders Capital, the $99.3 billion private markets division of Schroders, successfully closed over $600 million for its Private Equity Global Innovation XI Fund.
– The fund attracted global institutional investors, including pension funds, insurance companies, foundations, and family offices.
– The strategy covers the full investment lifecycle:
Primary commitments to new venture funds
Direct investments
Co-investments
Secondary purchases
– The portfolio is diversified across stages, sectors, and regions, with a focus on established and access-restricted investments.
– Technology innovation, especially generative AI, is a key sector focus.
– Example: Investment in Scale AI, a leader in AI data labeling and model evaluation services.
– Cybersecurity is another priority area.
– Upcoming exit: Wiz, a cloud security leader, set to be acquired by Google for $32 billion, pending regulatory approval.
– Steven Yang, Head of Global Innovation at Schroders Capital, emphasized the firm’s commitment to delivering value through exposure to disruptive global innovation.
– The team sees growing investor interest in venture exposure within sectors like technology, AI, and biopharma.
– Schroders Capital’s Global Innovation team, active since 1997, has deployed over $6.5 billion into venture and growth across global innovation hubs.
– In 2023, Schroders Capital launched the UK’s first venture and growth Long-Term Asset Fund (LTAF), addressing demand from defined contribution clients.
– The UK Innovation LTAF recently held its first close at £500 million, with commitments from the British Business Bank and Phoenix Group, through Future Growth Capital.
– The LTAF has already made investments in two UK AI companies: Synthesia and Luminance.
