Momentum is building in Switzerland’s private equity space, driven in part by Swisscanto’s latest offering – the Private Equity Switzerland Growth II L-QIF fund – which will target CHF150m (€160m) for a first close in Q3 2025, according to a report by Private Equity Insights.
Several pension funds have already committed in the fund that will focus on unlisted Swiss companies in sectors such as healthcare, industrials, and data services.
This new fund follows the success of Swisscanto’s previous funds, including the fully subscribed Switzerland Growth I and World Carbon Solutions I, which closed in October 2023 with CHF130m in commitments.
The firm is already planning follow-up strategies, highlighting increasing institutional demand for Swiss-focused private equity. Those interested in the local fundraising landscape can gain further insights by attending the Swiss Private Equity Conference in Zurich.
Swiss pension funds are increasingly viewing domestic private equity as a strategic tool for diversification, particularly as a match for their Swiss franc-denominated liabilities. However, obstacles remain, including the limited availability of institutional-grade vehicles, constrained risk budgets, and the added complexity of regulatory requirements.
Romano Gruber, team leader at PPCmetrics, highlighted that Swiss pension funds currently allocate around 2.5% of their assets to private equity, with most of this allocation still directed toward global strategies. However, domestic private equity offers distinct advantages, including the elimination of currency risk and access to politically stable markets.
Innovation in product offerings is accelerating, with initiatives like the Deep Tech Nation Switzerland Foundation – launched by UBS and Swisscom – seeking to unlock CHF50bn in venture capital. Such efforts are broadening opportunities in Swiss venture and private debt markets.
