Schulte Roth & Zabel partner and co-head of the Private Equity Funds Group, Joe Smith, recently discussed the growing number of limited partners (“LPs”) coming to the secondary market. He told PitchBook, “Many first-time secondary sellers will come to market this year, because, if they don’t, LPs are going to be in a position where, if they wait for the market to give them liquidity, they’re going to miss out on vintages.”

While LPs have historically avoided the secondary market, perceiving it is a domain for distressed sales, Joe said that stigma is now broken as high-profile sales flood the market and allocators grapple with mounting liquidity needs.