GP stakes investor CAZ Investments has allocated $350 million to Bonaccord Capital Partners II.
Bonaccord Capital Partners takes non-controlling equity interests in mid-sized alternative asset managers. Since 2020, CAZ and Bonaccord’s strategic partnership has provided over $1 billion in capital commitments. The Bonaccord deal follows CAZ Investment’s $1 billion investment in Dyal at the end of August.
“We believe GP stakes represents a cornerstone allocation for an investor’s portfolio that delivers substantial diversification across private equity, private credit, real estate and real assets, as well as across geography and industry,” said Christopher Zook, CIO of CAZ in a statement. “We hold the strong view that the compelling attributes of GP stakes provides both tremendous long-term upside while allowing better insulation for investors from any market downturns.”
The CAZ team reviews roughly 1,500 private investments in a typical year, but usually invests in less than 10, officials added.
Managing Partner at Bonaccord Capital Partners Ajay Chitkara said in a statement, “On behalf of my team at Bonaccord Capital, I want to say how thrilled we are with the major commitment from our longtime partners at CAZ Investments. We look forward to delivering outstanding results through exposure to ownership stakes in leading middle market private asset managers.”
