Pomona Investment Fund has made its first investment with the secondary market purchase from a US endowment of a USD25 million portfolio of diversified private equity interests across 17 underlying funds and nine general partners, with over 300 underlying companies.
With a USD25,000 minimum subscription requirement, and an investor friendly tax reporting structure, the Fund is designed to provide accredited investors with easier access to private equity opportunities. With this purchase, the Fund's shareholders will have exposure to mature, seasoned private equity positions in private equity managers with established track records.
"Pomona Investment Fund provides a mix of asset types across a number of sectors including traditional buyout, growth equity and credit. This creates a complimentary mix of assets that seeks near-term expected cash flow and longer-term growth," says Michael Granoff, CEO of Pomona Capital. "For investors, this Fund offers the opportunity for diversified exposure to private equity, with the potential to mitigate the typical private equity j-curve and minimise blind pool capital risk."
The majority of the Fund's investments are planned for secondary interests in seasoned private equity funds, with a complementary focus on primary and direct commitments. Similar to Pomona Capital's institutional offerings, the Fund's strategy seeks the long-term capital appreciation associated with private equity with a lower risk profile.
"Pomona Investment Fund, one of the first '33 and '40 Act registered private equity funds, is available on a number of investment platforms," says Ryan Levitt, the Fund's portfolio manager.
