Alts Fundraising 2025: $60.6B, BDCs & Private Placements
- Alternative investment fundraising reached $60.6 billion through April 2025, according to Robert A.
- Non-traded BDCs have raised an estimated $16.8 billion so far this year.
- stanger & Co., Inc., identified the top players in the alternative investment space.
Alternative investment fundraising is booming! Through April 2025, the sector has already amassed $60.6 billion. Non-traded BDCs continue to lead the charge, securing $16.8 billion year-to-date, while private placements also contribute considerably. blackstone tops the fundraising charts with an notable $10.8 billion. While NAV REIT redemptions are up slightly,they remain within acceptable parameters. The detailed analysis of BDCs and private placements reveals compelling trends for 2025, offering valuable insights for investors. News Directory 3 provides complete market data. What are the primary drivers behind this surge, and how will these trends evolve throughout the year, especially with secondary_keyword? Discover what’s next for alts!
Alts Fundraising Strong in 2025, Driven by BDCs and Private Placements
Updated May 26, 2025
Alternative investment fundraising reached $60.6 billion through April 2025, according to Robert A. Stanger & Company, Inc. Their Stanger Market Pulse report suggests the sector is on track to reach nearly $180 billion for the year. Non-traded business advancement companies (BDCs) are leading this surge in alternative investment fundraising.
Non-traded BDCs have raised an estimated $16.8 billion so far this year. private placements, including infrastructure, private equity, and other offerings, contributed $13.7 billion. Interval funds added another $12.2 billion to the total.
Randy Sweetman, executive managing director of Robert A. stanger & Co., Inc., identified the top players in the alternative investment space. “The top fundraisers in the alternative investment space year-to-date are Blackstone ($10.8 billion), Cliffwater ($6.0 billion), Kohlberg Kravis Roberts & Co. ($5.1 billion), Ares Management Corporation ($4.7 billion) and Blue Owl Capital ($4.6 billion),” Sweetman said.
stangers Q1 2025 Chairman’s Report, which tracks NAV REITs and non-traded BDCs currently raising capital, reveals differing trends. While non-traded REIT fundraising decreased by 17.7% year-over-year, it did see a 27.2% increase from March to April. In contrast, non-traded BDC fundraising increased by 45.7% compared to the same period last year,showing strong momentum in the BDC sector for alternative investment fundraising.
Kevin T. Gannon, chairman of Robert A. Stanger & co., Inc., commented on the BDC’s appeal. “Reflecting the generally high yield of BDCs (10%), the regular reporting of NAV per share and the semi-liquid nature of the shares,” Gannon said.
NAV reits experienced increased redemptions, rising to 3.4% of average aggregate NAV in Q1 2025, up from 2.3% in the previous quarter, totaling $2.8 billion.However, this remains below the $4.1 billion redeemed in Q1 2024.Non-traded BDCs reported stable redemptions at 1.4% of NAV, consistent with previous quarters and year-over-year figures.
gannon added context to the redemption levels. “The slightly elevated redemption level is well within the expected 5% cap imposed by most programs except Starwood which imposed a 1% cap on quarterly redemption,” said Gannon.
The overall aggregate NAV of the non-traded BDC space surpassed $100 billion during the first quarter of 2025. This growth reflects retail investors’ ongoing shift toward BDCs and other credit-oriented products offering higher yields.
What’s next
Stanger’s ongoing surveys will continue to track fundraising across various alternative investments offered through retail channels. these include publicly registered non-traded REITs, non-traded business development companies, interval funds, non-traded preferred stock of traded REITs, Delaware statutory trusts, opportunity zone investments, and other private placement offerings.