Sector Investment 3 Days

Last updated: May 15, 2026, 11:38 AM ET

Private Equity Fund Raises

THL Partners closed its latest flagship fund with $6.35 billion in investable capital, marking one of the largest private equity raises this year. THL Equity Fund X drew strong institutional demand as the Boston-based firm, founded in 1974, maintains its focus on control-oriented investments in North American companies. Separately, Mako Capital Group has launched as a new Miami-based private equity firm targeting lower-middle market companies in healthcare, financial services, and other sectors, with its first investment in Mangrove Health.

Pension Allocation Shifts

The Connecticut pension system has anchored Artemis's fifth flagship fund as it seeks to deploy approximately $1.2 billion in real estate commitments this year, prioritizing existing manager relationships in a challenging market. In contrast, Ohio SERS is actively reducing its real estate exposure after the pension missed performance benchmarks, with its chief investment officer signaling that successful managers in the asset class will need to demonstrate "effective operator" capabilities to earn continued allocations.

Real Estate Fund Innovation

Heitman is targeting a $2 billion raise for its debut self-storage fund, an open-ended vehicle representing the manager's first sector-specific fund in North America as investors seek exposure to resilient real estate subsectors. Meanwhile, BNP Paribas Asset Management's alternative investments unit has amassed €3 billion for its European credit strategy, targeting high single-digit internal rates of return by lending against transitional real estate through the fund and associated vehicles. The rise of public REITs has created competitive pressure for traditional fund managers, with listed firms like Digital Realty and Realty Income Trust gaining traction among institutional investors thanks to their unique market positions in data centers and net-lease properties.

Infrastructure Development

Offshore wind projects continue to face headwinds in Australia and New Zealand, where both markets are building the sector from scratch. Investors and developers see the two markets evolving in tandem as they work to overcome regulatory, financing, and supply chain challenges unique to the region.