TLDR:
- Alaska Permanent, CalPERS, and New Mexico SIC are showing interest in growth equity.
- They are particularly interested due to the decrease in valuations for growth-stage companies.
In a recent article by Lawrence Aragon, it was highlighted that three major LPs, namely Alaska Permanent, CalPERS, and New Mexico SIC, are warming up to growth equity investments. This shift in focus towards growth equity comes as valuations have decreased for growth-stage companies, making them more appealing to these LPs.
The article points out that CalPERS, in particular, is increasing its allocations to VC and growth investments. This is seen as a strategic move to capitalize on the potential for growth in this sector. Additionally, it mentions that women-led venture capital firms like Emmeline Ventures are also garnering interest from LPs like CalPERS, indicating a broader trend towards supporting underrepresented founders in the industry.
Overall, the article underscores the growing importance of growth equity investments for institutional investors like Alaska Permanent, CalPERS, and New Mexico SIC. With valuations becoming more favorable for growth-stage companies, LPs are looking to capitalize on this trend and diversify their portfolios with these promising opportunities in the market.
