Manager Comment June 2018 – Listed Private Equity Fund

Partners Group Listed Investments SICAV – Listed Private Equity recorded a NAV-increase in June, outperforming the broader equity market. The second quarter closed with a significant value increase. Particularly US-based business development companies (BDCs) and alternative asset managers contributed positively to the quarterly performance. During the reporting period, NB Private Equity Partners Limited convinced its investors with the publication of the quarterly report as of March 31, 2018. The company has achieved aggregate an investment multiple of 2.0x and gross IRR of 45% with two successful exits during the quarter. Furthermore, the company increased its NAV by 10.7% over the past twelve months on a total return basis. On the other hand, the UK Intermediate Capital Group (ICG) contributed negatively to the monthly performance. Although the alternative asset manager posted encouraging financials in May, the stock lost ground in June without any fundamental news. Another positive example is the alternative asset manager KKR. The US-based company announced to convert its legal form from a limited partnership to a so-called c-corporation as of 1 July 2018. This allows a broader investor base, for example index funds, to invest in KKR’s shares. Therefore, according to the asset manager’s view, further US asset managers will follow and adapt their corporate form.