Boutique managers are winning over LPs
30.04.2025 – Articles
Size once signalled strength. Today, bigger isn’t always better.
Private markets have long had a size bias. But in 2025, LPs aren’t allocating based on brand names and AUM alone. They’re rethinking what makes a fund genuinely worth backing, looking for focus, for edge – and increasingly, it’s the smaller, sharper, specialist firms that are standing out.
The shift: From scale to specialisation
According to Adams Street Partners, 88% of LPs plan to increase allocations to growth equity and specialist strategies. Meanwhile, emerging managers – many running smaller, sector-focussed funds – are now attracting nearly 18% of global LP commitments.