Skip to content
The DI Wire
Click Here to Subscribe to Our Free Daily News Updates

Ares Private Markets Fund Reports Semi-Annual Returns North of 4.5%

Ares Private Markets Fund Reports Semi-Annual Returns North of 4.5%. Alternative investment, Ares, Ares Private Markets Fund, closed-end fund, private equity, private market, secondary market
Ares Private Markets Fund Reports Semi-Annual Returns North of 4.5%. Alternative investment, Ares, Ares Private Markets Fund, closed-end fund, private equity, private market, secondary market

Ares Private Markets Fund, a continuously offered non-traded closed-end fund that invests in private equity and other private assets principally through the secondary market, provided a semi-annual update for the six months ended Sept. 30. 2023.

The company announced that the fund generated net total returns of 4.79%, 4.65% and 4.44% for its Class I shares, Class D shares, and Class A shares, respectively, for the first six months of its fiscal year (April 1 to Sept. 30, 2023). The fund’s performance was mainly driven by a combination of gain and discount at purchase of its secondary investments, which account for 98% of the fund’s investment portfolio. Year-to-date, the fund has reported total returns of 10.54%, 10.27% and 4.44% for Class I, Class D and Class A shares, respectively. Class I shares were introduced on April 1, 2022, Class D shares on Sept. 1, 2022, while Class A shares were launched on Aug. 1, 2023.

As The DI Wire previously reported, Ares Management Corporation (NYSE: ARES), a global alternative investment manager, launched Ares Private Markets Fund in April 2022. Since inception, the fund has acquired 46 investments across traditional secondaries, GP-led secondaries, structured solutions, co-investments and primary commitments. The fund has raised $393.8 million of investor equity since its inception in March 2022, as of Oct. 31, 2023.

As of Sept. 30, 2023, secondaries investments accounted for 98% of the fund’s investment portfolio, with over 90% of the fund’s portfolio held in buyout investments. As of Sept. 30, 2023, the fund’s underlying portfolio company exposure is 76% in North America and 24% in Europe and 3% in the rest of the world. The fund actively deployed capital across a variety of investment opportunities and continues to provide its investor base with a diversified portfolio.

The company says that historically, private market fundraising has tended to correlate strongly with public market performance. Investors tend to commit more to private markets when public markets are strong, and less when public markets are weak.

The Ares Private Markets Fund invests in a portfolio of private equity fund stakes backed by private equity sponsors in both the U.S. and Europe. Ares Management Corporation (NYSE: ARES) is a global alternative investment manager with approximately $395 billion of assets under management.

Click here to visit The DI Wire directory page.