The report, titled "Don’t wave the chequered flag too soon," features insights from a panel discussion that included senior figures across advisory, GP execution, and both equity and credit secondaries investing. The findings highlight the transformative impact of GP-led transactions on the secondary market landscape, particularly the rise of single-asset continuation vehicles.

Nigel Dawn of Evercore eloquently described continuation vehicles as "the third door of liquidity" for General Partners (GPs), alongside mergers and acquisitions (M&A) and initial public offerings (IPOs). "Rather than being forced by fund timelines to sell high-performing assets to competitors, GPs can transfer those assets into a new vehicle, maintain control, and pursue the next stage of value creation," Dawn explained. This approach offers existing investors a clear choice: exit at fair value or roll forward and capture further upside.

Jeremy Coller, Chief Investment Officer and Managing Partner of Coller Capital, reflected on the evolution of GP-leds: "Since we did our first in 1996, GP-leds have gone from zombie funds that nobody wanted, to secondary buyouts that everybody wanted, to continuation vehicles that let you hold on to your best assets instead of selling them to your biggest rivals. In 2026, CVs aren’t an emergency exit – they’re a preferred exit, the route of choice for investors everywhere."

The secondary market, however, remains structurally underfunded relative to primary private capital, with just one year of dry powder available. This scarcity affords investors significant selectivity, ensuring that the quality of their investment decision-making remains high. The rise of continuation vehicles challenges the misconception that they are used to offload unsellable assets. Anecdotally, only about half of single-asset transactions brought to market end up closing. Successful assets are typically those already generating strong returns—around 3x—with a credible pathway to 2–3x further growth, characterised by resilient cash flows, strong organic growth, and multiple value creation levers.

"GP alignment is not a box to tick," emphasised one industry expert. "It is the central signal in any continuation vehicle, and the GP should be rolling their full interest, ideally increasing their position, and forgoing any liquidity they could have taken."

As lead cheque sizes have expanded from $100–200 million five years ago to $500 million–$1 billion today, secondary investors are approaching due diligence with a rigour akin to that of primary buyout managers. Board and observer seats are becoming increasingly common features of large transactions, reflecting the heightened scrutiny and strategic involvement of investors.

Australia, a market well-known to Coller Capital, is witnessing a growing interest in GP-led secondaries. With more than three decades of experience in building the secondaries asset class, Coller Capital has recently directed significant focus toward the country's private wealth sector. The approximately 11,500 financial advisers in Australia, along with the CIOs of advice firms, asset consultants, and Investment Committees, are increasingly posing sharper questions about private markets. They are scrutinising how portfolios are structured, how managers are aligned, and where liquidity resides. GP-led secondaries provide direct answers to these inquiries.

As the secondary market continues to evolve, the role of GP-led transactions, particularly continuation vehicles, will likely remain a focal point for investors seeking to optimise their strategies and maximise returns in an increasingly complex financial landscape.