Fundraising slowdown continues amid market uncertainty
Fundraising activity in 2022 is off to a slow start following a record-setting fourth quarter in 2021. A total of 34 private equity real estate funds recorded final closings during the second quarter of 2022, raising an aggregate US$19.3 billion, according to the IREI.Q database. It’s the lowest fundraising volume since Q3/2017 when 32 funds raised US$18.2 billion. This follows the first quarter fundraise total of US$28.9 billion. Both figures pale in comparison with the Q4/2021 total of US$65.3 billion.
For the first half of the year, the fundraising total of US$48.2 billion ranks as the lowest total since 2014’s figure of US$44.1 billion, but it is on par with last year’s six-month total of US$50.3 billion.
As noted in the first quarter Fundraising Report, uncertainty in the global financial markets has investors on edge as they deal with threats from inflation, rising interest rates and a slowing global economy, not to mention the conflict between Rus