StepStone Closes Largest-Ever Venture Capital Secondaries Fund

Core Viewpoint - StepStone Group Inc. has successfully raised $3.3 billion for its sixth venture capital secondaries fund, VSF VI, marking it as the largest fund dedicated to venture capital secondaries to date [1][2]. Company Overview - StepStone Group is a global private markets investment firm that provides customized investment solutions, advisory, and data services, managing approximately $678 billion in total capital as of March 31, 2024, with $157 billion in assets under management [4]. Fund Details - The VSF VI fund received strong participation from both existing and new investors, indicating robust demand in the venture capital secondary market [1][2]. - The fund aims to provide liquidity to founders and early investors in mature venture-backed companies, purchase interests in venture capital funds from limited partners, and assist fund managers with structured solutions [2]. Market Context - The venture capital market has seen significant growth, with assets under management increasing from approximately $600 billion in 2014 to around $3.3 trillion by the end of 2023, representing a 123% growth since 2014 [2]. - Venture capital now constitutes 64% of the assets held by traditional private equity funds, highlighting its increasing importance in the investment landscape [2]. Strategic Positioning - StepStone has established itself as one of the largest allocators to venture funds globally, supported by a dedicated 75-person investment team and extensive data on venture-backed companies [3]. - The firm is positioned to effectively diligence, price, and structure a wide range of secondary opportunities, aiming to achieve strong returns by financing innovation [3].