Neuberger Berman has once again demonstrated its dominance in the private markets space, closing its fifth co-investment fund with $2.8 billion in capital commitments, smashing through its $2.25 billion target. The asset manager, advised by Ropes & Gray LLP, unveiled the milestone Wednesday in a statement that points to intensifying limited partner appetite for co-investment opportunities in a volatile market.

The fund—officially titled NB Strategic Co-Investment Partners V—outpaces its 2021 predecessor, which closed at $2.1 billion, and dwarfs the $1.25 billion raised in Fund III back in 2016. It marks another chapter in the firm’s growing legacy, having now raised roughly $6 billion for co-investments since January 2024 alone.

A Platform Decades in the Making

“Fund V stands to benefit from our leading private markets platform, with over $140 billion AUM, built over 35 years,” said David Morse, Neuberger Berman’s global co-head of co-investments. He highlighted the firm’s 195+ private markets professionals and relationships with over 380 lead sponsors as instrumental to its edge in deal flow and opportunity sourcing.

The fund will assemble a diversified portfolio of direct equity co-investments, aligning alongside private equity firms across industries, sponsor types, enterprise values, and vintage years, providing investors with rare access to handpicked mid- and late-life deals.

Global Investors Fuel Surge in Demand

Backers of the fund include pension funds, insurance companies, foundations, family offices, and high-net-worth individuals across North America, Europe, and Asia—evidence of the global chase for private equity exposure that skips traditional fund layers.

“This fund enables our clients to participate in distinct investment opportunities we originate by being a flexible and value-added capital solutions provider to our GP partners,” said Joana Rocha Scaff, head of Europe private equity at Neuberger Berman. “We often co-underwrite new transactions or invest mid-life in existing sponsor-owned companies—typically for growth or partial liquidity.”

A Growing Force in Co-Investments

The firm now boasts over $40 billion in co-investment capital under management, a staggering figure that places it in the upper echelons of private equity secondary and co-investment specialists. The success of Fund V underlines a market dynamic where investors seek transparency, control, and lower fees—all hallmarks of co-investment structures.

The legal team at Ropes & Gray guiding the fund included asset management partners Lindsey Goldstein, Peter Laybourn, and Joel Wattenbarger, along with tax partner Jay Milkes.

With markets fragmented and private equity managers looking for nimble capital partners, Neuberger Berman’s strategy appears not just well-timed—but essential for next-generation private market access.