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Where Scale Meets Expertise
Leveraging our substantial primary capital deployment, we believe we are uniquely positioned to capitalize on the attractive long-term growth potential trends of the secondary market through a dedicated continuous evergreen investment vehicle. Supported by a team of 278 investment professionals,2 we aim to deliver topical market insights, robust execution capabilities and the flexibility to invest across all segments
Harnessing the power of secondaries for private wealth investors
- Liquidity: Focuses on funded assets with strong potential for near-term distributions
- Growth Potential: Targets high quality middle market buyout funds at inflection points
- Flexibility: Leverages Hamilton Lane’s strong competitive position with LPs and GPs to maintain a flexible approach across transaction types
- Optimized Returns: Seeks entry discounts combined with long-term value appreciation
Why invest in secondary investments?
Secondaries have historically generated attractive returns and low volatility versus other private markets strategies
- J-Curve mitigation. Investments are purchased farther along in their life cycle, with the potential to reduce the negative impact of management fees and accelerate the pace and timing of distributions.
- Instant diversification. Secondaries may provide investors with the ability to quickly diversify a portfolio by vintage years, investment strategies, industry sectors and fund managers.
- Knowledge of underlying assets. Secondary portfolio companies can be carefully analyzed, reducing the “blind pool” risk associated with primary investments.
- Increased pace of capital deployment. Investments are typically at or near the end of their investment periods when purchased.
- Embedded Value. Secondaries are usually sold at a discount to their primary market counterparts, potentially enhancing overall risk-adjusted returns.
Why now?
The secondary market presents an opportunity set that is broader than ever before in terms of deal flow, creativity and transaction activity
- Record secondary volumes. Secondary volume has grown 18% annually from 2013 through 20244, with 2024 hitting a record level of volume and more secondary opportunities.
- Supply-demand imbalance. There currently isn’t enough secondary capital to support all the deal volume, thus creating an attractive buyer dynamic5.
- Potential appreciation. Secondary funds formerly had a reputation for offering quick returns from discounts. However, most returns from secondaries are now coming from go-forward appreciation
- Historical performance. Secondaries have generated strong returns and liquidity for investors to date.
*The Hamilton Lane Private Secondary Fund is new and therefore does not have a performance history for a full calendar year as of the most recent quarter end. Performance for periods prior to February 27, 2025 reflects the performance of the Hamilton Lane Private Secondary Fund DE Holdings LLC with an inception date of September 2024. Past performance is not a guarantee of future returns and current performance may be lower or higher than the figures shown. Returns shown net of all fees and expenses. Consider the investment objectives, risks, charges, and expenses of the Fund carefully before investing. The prospectus contains this and other information about the Fund and is available at www.hamiltonlane.com/psf or by calling 888-882-8212. Read carefully before investing. Expense ratios as of the most recent prospectus | 1.57%; R 2.97%; Y 1.27%.
Target Portfolio Construction
For illustrative purposes only. Allocations subject to change without notice.
- Our investment approach targets a broad spectrum of secondary opportunities, from GP-led, structured transactions to the purchase of individual fund interests
- Flexible approach across transaction types given our strong competitive position in both the LP and GP markets
- Primarily focused on developed markets, with more weight towards North America
- Focus on hard to access, high quality mid market buyout funds where our relationship advantage is prioritized
For previous monthly reports, please visit our archive.
IMPORTANT RISK INFORMATION
Investors should carefully consider the investment objectives, risks, charges and expenses of the Hamilton Lane Private Secondary Fund before investing. The prospectus and, if available, the summary prospectus contain this and other information about the Fund. You may obtain a prospectus and, if available, a summary prospectus by downloading the prospectus or by calling 1 (888) 882-8212. Please read the prospectus carefully before investing.
The Fund operates as a continuously offered non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended.
An investment in the Fund is generally subject to market risk, including the loss of the entire principal amount invested. An investment in the Fund represents an indirect investment in the securities owned by the Fund.
Some of the principal risks of the Fund include, risks in investments in portfolio funds, taxation, failure to qualify as a regulated investment company, prepayment risk, inflation and interest risks, business and structure related risks, management related risks, closed-end fund, temporary investments, cybersecurity risk, and potential future conversion to an interval fund. The Fund may engage in the use of leverage, derivative instruments, hedging, and other speculative investment practices that may accelerate losses. For a complete description of the Fund’s principal investment risks, please refer to the prospectus.
The Fund has limited operating history and the shares have no history of public trading.
The Fund is not a liquid investment. No Shareholder will have the right to require the Fund to redeem its Shares. The Fund from time to time intends to offer to repurchase Shares pursuant to written tenders by the Shareholders. The Adviser anticipates recommending to the Board that, under normal market circumstances, the Fund conduct repurchase offers of no more than 5% of the Fund’s net assets. The Adviser currently expects to recommend to the Board that the Fund conducts its first repurchase offer following the second full quarter after the effective date of the Fund’s registration (or earlier or later date as the Board may determine) and thereafter quarterly. Any repurchases of Shares will be made at such times and on such terms as may be determined by the Board from time to time in its sole discretion. There can be no assurance that the Fund will conduct repurchase offers in any particular period and Shareholders may be unable to tender Shares for repurchase for an indefinite period of time.
In determining whether the Fund should offer to repurchase Shares from Shareholders of the Fund pursuant to repurchase requests, the Board may consider, among other things, the recommendation of the Adviser as well as a variety of other operational, business and economic factors.
Valuation of the Fund’s Interests in Portfolio Funds:
The valuations reported by the Portfolio Fund Managers, based upon which the Fund determines its month-end net asset value and the net asset value per Share may be subject to later adjustment or revision. Because such adjustments or revisions, whether increasing or decreasing the net asset value of the Fund at the time they occur, relate to information available only at the time of the adjustment or revision, the adjustment or revision may not affect the amount of the repurchase proceeds of the Fund received by Shareholders who had their Shares repurchased prior to such adjustments and received their repurchase proceeds, subject to the ability of the Fund to adjust or recoup the repurchase proceeds received by Shareholders under certain circumstances.
Non-Diversified Status Risk:
Although the Fund is allocated across sectors and asset classes, it is a non-diversified fund and subject to risks associated with concentrated investments in a specific industry or sector and therefore may be subject to greater volatility than a more diversified investment.
Secondary Investments Risk:
The market for investments in Secondary Investments is inefficient and highly illiquid, and no efficient market is expected to develop during the term of the Fund. There can be no assurance that the Fund will be successful in consummating the types of transactions contemplated, that it will otherwise be able to identify sufficient secondary investment opportunities or other opportunities consistent with its investment objectives, that it will acquire sufficient Secondary Investments or other investments on attractive terms, or that it will otherwise be successful in implementing its investment objectives or avoiding losses (up to and including the loss of the entire amount invested).
Diversification does not guarantee a profit or protect against a loss in a declining market.
PINE Distributors LLC is the distributor of the Hamilton Lane Private Secondary Fund. Hamilton Lane Advisors, LLC. is the investment adviser to the Hamilton Lane Private Secondary Fund. PINE Distributors LLC is not affiliated with Hamilton Lane Advisors, LLC. Learn more about PINE Distributors LLC at FINRA's BrokerCheck.
HMLAN-4356240-04/25