News & Analysis

Download: European GPs jumpstart 2024 impact fundraising data

Fund closes by EQT, Infranity and others have given Q1 impact fundraising data a rosy complexion. View the presentation and download the data here.

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Click the top right of the report to view full screen.

After a fundraising year to forget, the impact investing industry has started 2024 with a spring in its step.

In terms of total dollars raised for impact fund closes, the first quarter of this year set a new record; the $7.9 billion raised was marginally more than the $7 billion and $6.9 billion raised in 2021 and 2022 respectively.

As is often the case, a single large fund has made a lot of difference here; EQT’s Future Fund, an impact-driven private equity strategy, held a final close on €3 billion in March, contributing around $3.25 billion to the total. The conclusion of a successful double fundraise by infrastructure debt firm Infranity added a further €2 billion.

While the data shows a relatively strong start to the year, it is worth noting that fund closes during this particular period are a reflection of fundraising activity undertaken across previous quarters. EQT’s Future Fund, for example, was brought to market in 2021.

In looking for early signals for how the fundraising data will look for the rest of 2024, we note some substantial climate-focused funds either in the market or coming to market, with the potentially largest of these being Brookfield Asset Management‘s second Global Transition Fund. While no target has been disclosed for the fund, the firm has stated it is seeking to raise more than its $15 billion predecessor.

Other notes from the report:

  • The majority of private markets impact dollars raised so far have been for private equity strategies. Private quity accounts for around twice as much impact capital raised as infrastructure, the next most popular asset class.
  • Just over a quarter of impact funds (by number, rather than total size) profess alignment with UN Sustainable Development Goal 13: Climate Action.
  • Two-thirds of the impact capital raised over the last five years is mandated to invest across multiple regions.
  • Six of the 10 largest funds in market have been fundraising since 2021 or earlier.

Check out our interactive report above for the full breakdown of fundraising activity in the first quarter. You can also download a PDF of the report HERE and download the data HERE.