The ALPS | Red Rocks Listed Private Equity Fund (LPEFX) saw returns of 41.26 per cent in 2013, outpacing the S&P 500 and other benchmarks, as firms sold assets and completed initial public offerings (IPOs) for their portfolio companies at a record pace.
Fuelled by strong returns and a vigorous market for deal exits, private equity firms returned USD120bn to investors in 2013, topping last year's record of USD115bn, according to Cambridge Associates.
The strong performance was fuelled in part by such publicized transactions as the Blackstone’s record hotel IPO for Hilton Worldwide Holdings and lesser-known deals such as the sale of Allflex Holdings by Electra Private Equity.
“It was a very good year for private equity, and we are very proud of the outstanding results we have achieved for investors in the ALPS | Red Rocks Listed Private Equity Fund,” says Red Rocks Capital co-founder Mark Sunderhuse, the fund’s sub-advisor. “Private equity is the next wave of liquid alternatives, and our Fund provides advisors and investors with PE returns in a liquid mutual fund structure. We believe that the 40 per cent-plus returns that we achieved last year will show advisors that offering PE to their clients can help differentiate their practice and increase their book of business.”
The ALPS | Red Rocks Listed Private Equity Fund provides liquid access to some of the top private equity managers in the world. The fund uses a specialised investment strategy that provides direct exposure to private equity investments with diversification across private equity manager, industry, geography, stage of investment, vintage of investment, and capital structure.
