Primark Launches Private Equity Fund Through Schwab’s Fund Marketplace
DENVER, Colorado — Primark Capital announced that its private equity investment fund is now available to registered investment advisors (RIAs) through Schwab’s Mutual Fund Marketplace.
“Expanding Primark’s distribution through independent RIAs and their custodial platforms with our fund, the Primark Private Equity Investments Fund, supports our overall strategy to open and expand investor access to private equity investment opportunities,” says Tony DeMarino, Partner at Primark Capital.
The Primark Private Equity Investments Fund participates in middle market buyout and growth capital investments in private operating companies and in private equity funds through an easy to access interval fund structure that is managed by an experienced private equity investment team with a proven track record of outperformance. RIAs can now provide to their clients a diversified investment portfolio that includes an allocation to a private equity asset class that previously has been very difficult to access for retail investors.
The Primark Private Equity Investments Fund is designed for clients who are looking for additional portfolio diversification and attractive risk-adjusted returns offered through a private equity asset class typically only available to large institutional investors.
The private equity asset class has the potential to outperform the traditional public equity asset class over a long-term-investment horizon. This results from investor alignment of interest with management, greater input and control over strategic initiatives and investor driven operational improvements. Additionally, private equity investors coordinate the timing of the sale of their investments in portfolio companies to coincide with the most favorable market conditions. These factors provide the potential for attractive investment returns, increased portfolio diversification, lower volatility, and downside protection in periods of market stress.
The Primark Fund will invest in private operating companies and private equity funds that are typically only available to institutional investors that meet investment minimums, that can exceed $10 million or more. The Fund will be priced daily, it will provide quarterly liquidity and issue a year-end 1099 tax statement (not a K-1). The Fund provides individual investors with convenient, transparent access to direct private equity investment opportunities.
“We believe that participating in the private equity asset class is a crucial part of constructing a well-diversified portfolio and that individual investors deserve access to this asset class in an investor friendly structure,” said Michael Bell, Managing Director of Primark. “We developed the Fund to give investors convenient, direct access to private equity investments. Equally important in developing this investment structure was increasing transparency, oversight and liquidity and lowering the costs typically associated with direct private equity investments.”
Primark Advisors LLC (a wholly owned subsidiary of Primark Capital), is an investment adviser registered under the Investment Advisers Act of 1940, exclusively focused on building and managing private equity investments that seek long-term capital appreciation and low correlation to the broader public equity markets. Primark sponsors these investment structures to give individual investors access to institutional private equity opportunities once reserved for foundations, endowments, pensions and other institutions. For more information, please visit www.PrimarkCapital.com.
The Fund’s investment objectives, risks, charges, and expenses should be considered carefully before investing. The prospectus contains this and other important information about the Fund. Please read the prospectus carefully before investing or sending money. To obtain a prospectus, contact your financial professional or visit our website at www.PrimarkCapital.com.
Foreside Distributors LLC is the Fund’s Distributor.
Liquidity. The Fund is a continuously offered, closed‐end investment company, registered under the Investment Company Act of 1940. The Fund’s Shares are not publicly traded, there is currently no secondary market for the Shares and the Fund expects that no secondary market will develop. Shares are subject to substantial restrictions on transferability and may only be transferred or resold in accordance with the Fund’s Repurchase Policy. Limited liquidity is provided to shareholders through the Fund’s quarterly Repurchase Offers for no less than 5% of the shares outstanding. There is no guarantee that shareholders will be able to sell all of the Shares they desire in a quarterly Repurchase Offer. Expenses. The Fund does not have an upfront or backend sales charge. A shareholder who tenders shares for repurchase within the first year following the shareholder’s initial capital contribution will be subject to an Early Withdrawal Charge of 2.00% of the value of the shares repurchased by the Fund. Like all funds, the Fund has ongoing operating expenses. Risks – An investment in the Fund involves risk. You may lose money or your entire investment in the Fund. An investment in the Fund is suitable only for investors who can bear the risks associated with the limited liquidity of the Shares and should be viewed as a long-term investment. However, the Fund may be right for you if you are a long‐term investor seeking to diversify your portfolio by including private equity in your asset allocation. The Fund is intended for investors who are aware of the special risks of private equity investments. The Fund is new, with no significant operating history by which to evaluate its potential performance. There can be no assurance that the Fund’s strategy will be successful. The Fund is classified as “non‐diversified” under the Investment Company Act of 1940, since changes in the financial condition or market value of a single issuer may cause a relatively greater fluctuation in the Fund’s net asset value than in a “diversified” fund.
Tony DeMarino, Partner
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