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Private Market Advisory

Our Private Markets Advisory team advises clients on directly held private equity investments, known as Direct Investments. From origination to exit, we offer our clients a dedicated outsourced service developed exclusively for the family office market.

The team also provide independent Corporate & Family Business Advisory services to shareholders and companies at every stage of the business lifecycle – from business development and fundraising to acquisitions, disposals and liquidity events.

Overview

Private markets investing is an established cornerstone of family office portfolios, historically outperforming public markets. It offers the potential for higher capital return/yield, with lower price volatility than public markets and can act as a diversifier within a client’s portfolio.

Through Direct Investments, you can leverage your experience and network to deploy your intellectual, social, cultural and financial capital to create a tailored portfolio according to your preferences.

Direct Investments typically have a shorter average investment period than private fund commitments, along with greater visibility on the underlying investments. For all these reasons, clients are working with us to gain direct exposure to Direct Investments as part of their overall wealth management strategy.

Our Unique Approach

Operating within a multi-family office
Access and scale alongside other SF clients
Deploying the SF network
Originating differentiated, curated deal flow
Deal-by-deal approach
Build a bespoke portfolio based on preferences
Direct investment or co-investment
Enables greater focus and conviction
Flexible investment strategy
A generalist, opportunity-led approach
Flexible capital solutions
Investing across the balance sheet, plus follow-on capital

Problems we solve for our clients


Access and origination

Institutional-quality due diligence

Dedicated resource with expert skill set

Benefits of collective scale

Securing the right investor protections

Having influence

Post-investment administration and monitoring

Alignment on structure and fees

Driving successful exits

INVESTMENT STRATEGY

Growth Equity

Criteria and target returns
$5 - 10m
Target investment size

3 - 6 year
Target investment horizon

25+% IRR
Return target

2.5 - 4.0x
MoIC Target

Overview

  • Revenue-generating, high-growth business with large addressable markets
  • Business models with strong barriers to entry, backed by robust intellectual property or technology
  • Profitable businesses or those nearing profitability with solid unit economics
  • Fully involved and engage post-investment to drive growth
  • Can also provide follow-on capital to support ongoing growth
  • Ensuring appropriate rights and protections, bolstered by board representation and combined voting power

Real Assets

Criteria and Target Returns
$20 - $50m
Target investment size

5 - 6 year
Target investment horizon

15 - 20% IRR
Return target

2.0 - 2.5x
MoIC target

Overview

  • Invest across the capital structure with an asset-backed focus, providing downside protection
  • Lower risk than growth equity, usually uncorrelated to broader financial markets
  • Typically co-investing alongside other private capital investors and industry experts
  • Adding diversification to portfolios
  • Safeguard interests through lead investor relationships and consolidated voting power
  • Conservative approach to gearing

Real Estate

Criteria and Target Returns
$10 - $30m
Target investment size

3 - 5 year
Target investment horizon

15 - 20% IRR
Return target

$30 - $100m
GDV/GAV

Overview

  • Investing into direct property deals in the UK
  • Providing access to high quality deal flow, rigorously due diligenced by property market experts, with lower minimum cheque sizes
  • Focused on "Value Add" investments that require refurbishment, re-structuring, re-purposing or development
  • Generating strong risk-adjusted returns
  • Co-investing alongside real estate experts with strong track records

Direct Introductions

Overview

  • Taking advantage of market trends and conditions for opportunity-led details
  • Can be in response to specific client requests
  • Exploring multiple routes to identify the best option from a structure and fees perspective
  • Drawing upon the SF network to access opportunities
  • Benefiting from collective SF client demand to access investments often beyond individual investor thresholds
  • Opportunities across the capital structure

Statistics

$1.5bn+
invested in Private Markets across the wider Stonehage Fleming Group since 2000
$441m
of client capital invested in direct investments to date
$128m
of client capital invested in direct investments to date
25
direct investments completed to date
>70
current contracted direct investment clients
3.1x MoIC*
current contracted direct investment clients

*with a 4.4 years average hold period across all realised investments to date.

Overview

Our expert advisers provide independent Corporate & Family Business Advisory services to shareholders and companies at every stage of the business lifecycle – from business development and fundraising to acquisitions, disposals and liquidity events.

Offering trusted advice with an entrepreneurial mindset, our highly experienced team specialises in helping clients make the right decisions for their businesses, on the right terms.

Our Services

M&A
  • Advising entrepreneurs and families on transactions involving their businesses
  • Acquisitions and disposals
  • Buy-side advice leveraging our principal investment and corporate development expertise
Fundraising
  • Raising capital for growth, both equity and debt
  • Broad range of investor contracts leveraging our global UHNW and institutional networks
Exits
  • Liquidity events
  • Full or partial sales
  • Capital restructuring
Long-term Advisory
  • Strategic and financial advisory
  • Independent oversight
  • Professional adviser selection
  • Valuations analysis and financial modelling
  • Governance
  • Corporate treasury


We focus on family-owned and owner-managed businesses
We are relationship, not transaction, driven

As a group we specialise in working with families, individuals, and entrepreneurs.
We draw on the experience of our client who have been successful in growing and exiting their businesses.

Bespoke and independent; no lending, trading or capital markets activities.
We approach every deal from the principal's perspective.

Our focus is on long-term relationships and value creation.
Our clients are our partners.

Operate within the wider SF group to offer a holistic service to entrepreneurs.
We harness the SF network to access capital, partners, and specialist insight.


Insights

New generation of wealth creators drawn to private markets – Richard Hill

Sector attracts investors wishing to put their experience to use

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Increase in direct investments for family office clients – Richard Hill

Growing appeal for entrepreneurs and business-owning families

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How can we help?

There is no substitution for a personal conversation. If you are interested in hearing more about how we can help please get in touch and one of our experts will contact you.

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