Private equity investors are increasingly making new commitments to existing managers, with 82% of commitments made in 2016 to existing managers, up from 70% in 2015, according to a survey by Callan Associates of 69 asset owners with a combined $1.2 trillion in assets and $103.3 billion in private equity.
This was the highest ever percentage in Callan's analysis that dated back to 2000 when 22% of investor commitments were to existing general partners.
The largest 50 general partners managed 41% of limited partner commitments in 2016.
Follow-on commitments with existing managers over the past 10 years were the highest for venture capital managers, accounting for 68% of total venture capital commitments, followed by buyout managers with 61%, other with 60% and growth equity with 44%.
Survey respondents' private equity portfolios had heavy exposure to buyouts, with 59% in the strategy, followed by 10% in venture capital, 8% each in distressed and growth equity. Some 8% was in secondaries and 2% was in invested in co-investments.
