Spire Search Partners reveals talent market highlights in the PE sector for 2Q 2024.

Key Trends in Private Equity for Q2-24

Industry Data

Blackrock announced it is buying Preqin, a private capital database, for $3B. This strategic move strengthens BlackRock’s data analysis capabilities and fuels its expansion into private market investments. It is yet another indicator of the growing importance of data-driven market insights. The number of searches that we’ve seen focusing on capturing, analyzing, and reporting portco and portfolio data continues to increase.

Portco CFOs

PE/VCs hiring CFOs and Finance leadership for portcos is still a priority. Demand is outstripping supply, yet firms seem to be getting more specific about what they want in that function rather than being more flexible. This reflects the market’s recognition that the right talent will create significant value.

Compliance

In June, the SEC’s new Private Fund Advisers Rule was overturned by a US appeals court. This impacted several aspects related to quarterly performance reporting, annual audits, and preferential treatment given to some investors with respect to redemptions and access to portfolio holdings. While this is a significant rollback, the spirit of the rule is expected to still play a part in examinations and enforcement activities, as well as industry best practices.

Diversity Hiring

Historically, we’ve gained most of our diversity search work experience by partnering with large firms like Softbank. More recently, we’ve seen our smaller clients looking to add diverse talent to their teams as well; LPs are asking for it, and firms are happy to deliver but find it very challenging in certain markets.

Top 3 Articles

  1. The race for AI talent is heating up in PE firms as they actively seek Chief AI Officers to spearhead innovation. This pursuit of CAIOs could reshape M&A, with investments in AI tools impacting traditional deals and becoming a new growth strategy.
  2. Private equity’s surging interest in wealth management is creating demand for investor relations and capital formation expertise, stemming from RIAs’ reliable revenue and scalability. PE firms are evolving into growth partners for RIAs, providing capital to support expansion without requiring a major overhaul of their business models.
  3. The changing PE landscape calls for adaptable teams and strong collaborative leadership. A well-defined talent strategy remains essential in building the pillars for success and fostering trust within high-performing teams at all levels. This Hunt Scanlon article explores how to develop a human capital strategy that drives value creation for your organization.

Recent Searches

  • CFO – PE-backed Business Services Company; founder-led, tech-driven services, strategic deal-oriented leader
  • Principal – Private Markets Compliance @ Simon Compliance; specialty consulting firm catering to Private Markets
  • Global Head of IR & Capital Formation @ HRA; recently launched infrastructure fund specialized in Aviation, adding a seasoned leader to own investor relationships and raising new capital
  • VP – Fund & Portfolio Management @ $2B Private Credit/Equity Fund; Lower Mid-Market, multi-sector investor
  • VP – Portco Integrations & Initiatives @ Shoreline Equity; the firm’s first portfolio ops hire
  • VP – Investment & Portfolio Analytics @ EGI; building framework under a new CFO

Work Anniversaries – Past Placements

There are important work anniversaries for the second quarter!

Please join us in congratulating John MacDonagh and Eric Bellomo on their 2 successful years on the innovative Emerging Technology team at Pitchbook (a competitor of Preqin).

Notable Market Moves

There were far fewer market moves in Q2 than in Q1; this is to be expected as the new year typically brings the majority of promotions and moves.

That said, optimism is high for the second half of the year, and we expect to see that rebound.

CFO

  • Ira Platt was promoted to Chief Financial Officer at Tiger Global Management. He previously was the Head of Finance and Operations.
  • Kusuma Ala was promoted to Partner, Chief Financial Officer at Social Capital. She previously was the Controller.
  • Liberty City Ventures promotes Matthew Gabriel to Chief Financial Officer. He previously was the Director of Finance.
  • Blockchain appoints Ryan Davis as Chief Financial Officer. He comes from Offline Ventures where he served as the Chief Financial Officer.
  • Erin Rathke joins Petra Funds Group as Managing Director. She comes from White Deer where she served as the Chief Financial Officer.
  • Headlands Capital has appointed Cristin Brown as Chief Financial Officer. She comes from Atlantic Street Capital where she served as the Chief Financial Officer.
  • So June Min was promoted to Managing Director at .406 Ventures. She previously was the Chief Financial Officer.
  • Cecilia Kwan joins HGGC as Chief Financial Officer. She previously served as the Chief Financial Officer at B Capital Group.

OPERATING GROUP

  • Pine Environmental Services appoints John Roush as the Chief Executive Officer. He comes from ACON Investments where he was the Operating Executive.
  • Bill Gallucci joins Wytech Industries as Chief Financial Officer. He previously was the Operating Partner, Financial Operations at Great Point Partners.
  • Alex DeAraujo was appointed as the Managing Director at Wynnchurch Capital. He comes from ACON Investments where he was the Operating Partner.
  • Micropore, Inc. appoints John Nowaczyk as the Chief Executive Officer. He comes from Milestone Partners where he was the Operating Partner.
  • Ten Oaks Group promotes Hunter McGuirk to Senior Operating Partner.
  • Eric Valle joins Foundry1 as General Partner. He previously was the Operating Partner at Next Legacy Partners.
  • Alison Marston Watts joins Royal Paper as the Chief Financial Officer. She comes from Gridiron Capital where she was the Operating Partner.
  • NFX appoints Chris Travers as the Chief Operating Officer. He comes from Red Swan Ventures where he was GC and Operating Partner.
  • KeepingCount hires Jerry Connelly as the Chief Executive Officer. He previously was the Operating Partner at Housatonic Partners.