New fund launches rise in Q4
A total of 53 new investment funds were launched during fourth quarter 2019, the highest amount of new funds launched since first quarter 2011, when 73 new investment funds hit the market. Usually, the trend of record-setting fund launchings happens as a last-ditch effort in third quarters or a new start in first quarters, so this seems like preparations for 2020 went into effect a tad early this go-around. The new funds launched during fourth quarter 2019 are seeking an aggregate fundraising target of $34.5 billion, up significantly from third quarter 2019’s fundraising target of $19.3 billion but slightly down from first quarter 2019’s target of $40 billion.
Nuveen Real Estate’s Nuveen Global Farmland Fund was the largest fund launched in fourth quarter 2019. The open-end core fund has a global agriculture investment theme, focusing primarily on Brazil, Chile, New Zealand, Poland and Romania. The fund launched in early November and is seeking to raise approximately $2