Pantheon International Plc · LSE:PIN
Pantheon International — AMG Pantheon Fund — Investor Presentation (May 2024)
39 slides from Pantheon International's investor presentation, May 2024
Slide 1: AMG Pantheon Fund (P-PEXX)
PRIVATE WEALTH AMG PANTHEON FUND (P-PEXX) May 2024
Slide 2: Private Equity Introduction
PRIVATE EQUITY INTRODUCTION
Slide 3: Why do investors allocate to private equity?
Why do investors allocate to private equity? 1 2 3 4 Many sophisticated investors maintain allocations to private equity in an effort to Potential for Diversification Potential for Access to enhance investment returns enhanced volatility opportunities and to add diversification to returns reduction
Slide 4: Significant investor opportunities in private enterprises
Significant investor opportunities in private enterprises A large universe of private Private companies in the U.S1 companies in the US may 7,672,261 represent significant opportunity for private equity managers. To access the full breadth of the Private companies in the US, US economy, investors sh
Slide 5: Significant reduction of publicly listed stocks
There has been a significant reduction of publicly listed stocks | North American and European companies1 Private vs. Public 20,884 21,275 PE-backed Publicly traded Number of companies 14,484 13,738 13,898 13,634 14,216 13,594 13,367 12,396 13,599 12,362 12,318 12,492 11,087 12,234 12,203 10,404 9,0
Slide 6: Characteristics of the public market have changed over two decades
The characteristics of the public market have changed over the last two decades Value creation is | Median age for tech IPOs | Median market value, at first market price, for tech IPOs increasingly shifting from public to 12 years $3.05b private markets. Companies are coming to market later and at h
Slide 7: Outperformance with less volatility versus MSCI World Index
AMG Pantheon Fund (P-PEXX) has historically provided outperformance with less volatility versus MSCI World Index | Hypothetical $1m portfolio over the past 5 years* AMG Pantheon Fund (Class 1) MSCI World $2,200,000 $2,000,000 $1,800,000 14.02% 5yr – P-PEXX1 $1,600,000 $1,400,000 12.76% $1,200,000 5y
Slide 8: AMG Pantheon Fund (P-PEXX)
AMG PANTHEON FUND (P-PEXX)
Slide 9: Investing in private markets for 40+ years
Investing in private markets for 40+ years 1983 1988 1993 1994 1997 2000 2009 2017 2019 2020 2021 2022 2023 Pantheon Offices PE Primaries 1982 London 2007 2014 PE Secondaries 2022 New York Seoul2 2021 Chicago Berlin3 PE Co-investments 2018 2011 Dublin Tel Aviv1 2018 1987 2023 Infrastructure and real
Slide 10: Building a diversified private equity portfolio
Building a diversified private equity portfolio The first year a private equity fund Vintage makes a portfolio company investment Sector Industry sectors Portfolio Diversification within a Geography Global regions private equity portfolio takes into account: Investment managers (General Manager Part
Slide 11: Private equity returns by stage and geography
Private Equity returns by stage and geography Diversification matters | Ranking of median net IRR by stage and geography for each vintage year Top performing Bottom performing Source: Preqin, as of December 31, 2021. Diversification does not assure a profit or protect against loss in a declining mar
Slide 12: AMG Pantheon Fund aims to alleviate challenges with PE investing
AMG Pantheon Fund (P-PEXX) aims to alleviate challenges with PE investing Diversification J-curve Meeting Long Capital calls target lock-ups allocation Challenge: Challenge: Challenge: Challenge: Challenge: To achieve proper Negative flows—and Given long Each new investment A well-established divers
Slide 13: AMG Pantheon Fund (P-PEXX) overview and highlights
AMG Pantheon Fund (P-PEXX) Fund Overview Fund Highlights • P-PEXX provides Accredited Investors exposure to a • Core private equity portfolio in a single allocation diversified private equity portfolio sourced by Pantheon’s • Access to deal flow from Pantheon’s platform of co- Global Investment Team
Slide 14: Private equity portfolio characteristics
Private equity portfolio characteristics Primaries, 7% Co-Investments, 37% P-PEXX blends • Committing capital to a • Directly investing into secondaries, private equity fund at its portfolio companies inception to gain alongside private co-investments, and exposure to privately equity fund managers
Slide 15: Why access private equity through secondaries?
Why access private equity through secondaries? Primary Investment Period Secondary Investment Period Secondary investments may • Initial Investment Period • Reduce blind pool risk have several • Capital contributions • Transition from investing stage to advantages harvesting stage • Blind pool risk
Slide 16: What differentiates Pantheon's secondary approach?
What differentiates Pantheon’s secondary approach? Pantheon platform Pantheon’s experience Investment approach • 40+ year track record • 34 years investing in private • Target concentrated investing in private equity equity secondaries positions in high quality mature funds and companies • $68.7 bil
Slide 17: Pantheon's platform provides a potential sourcing advantage
Pantheon’s platform provides a potential sourcing advantage 2010 – 2023 | LP vs GP-Led deal funnel1 | Strong 30+ year relationships provide sourcing advantage2 Traditional LP GP-Led Screened $572.7 bn $380.1 bn 2,610 deals 1,104 deals 21 years $989m 20 / 6 Advanced due-diligence Avg. length of relat
Slide 18: Experience buying positions in leading, high quality General Partners
Experience buying positions in leading, high quality General Partners Leveraging Pantheon’s broad platform to access top quality GPs1 Transaction type Stage2 Geography3 Single Asset Small Buyout North America Medium Buyout GP-Led Europe Growth Equity Traditional LP Deals Asia and Australia Other Pan
Slide 19: Why invest in private equity secondaries now?
Why invest in private equity secondaries now? Most attractive buyout fund pricing in a decade | Historical buyout fund pricing and Pantheon’s 2024 pricing 1,2 Par 100% 97% 97% 96% 99% 95% 95% 94% 93% 91% 89% 90% 84% 85% 84% 80 – 90%2 80% 75% 70% 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Slide 20: Accessing private equity through co-investments
Accessing private equity through co-investments What is a ✓ Equity investment directly into an operating company co- investment? ✓ Investment generally made alongside a private equity fund that is contributing capital to the transaction Access to capacity-constrained managers Fee efficiency Long-sta
Slide 21: What differentiates Pantheon's co-investment approach?
What differentiates Pantheon’s co-investment approach? Pantheon platform Pantheon’s experience Investment approach • 40+ year track record • 20+ years investing in private • Target co-investment investing in private equity equity co-investments opportunities alongside high quality private equity • $
Slide 22: Invest alongside leading GPs where Pantheon has deep relationships
Invest alongside leading GPs where Pantheon has deep relationships Differentiated origination angle leveraging Pantheon’s private equity Platform Large private equity investor in high conviction GPs Longstanding co-investment sponsor relationships $39.0bn in AUM1 $9.1bn in AUM1 ~300 funds reviewed a
Slide 23: Finding value for Pantheon co-investments
Finding value for Pantheon co-investments • Attractive pricing in deals with greater operational complexity Complex deals at • GP partner is key given dependence on their ability to execute attractive pricing • Upside potential on exit multiple • Seek deals with high probability of near-term M&A Nea
Slide 24: Differentiated access to private equity
AMG Pantheon Fund (P-PEXX): Differentiated access to private equity Significant • 35+ year history of managing listed evergreen private equity fund, Pantheon International PLC evergreen • 9+ years of managing the P-PEXX experience • First investment made in 2014 Developed portfolio • 281 investments
Slide 25: Fund Terms & Performance
FUND TERMS & PERFORMANCE AMG PANTHEON FUND (P-PEXX)
Slide 26: AMG Pantheon Fund terms & fees
AMG Pantheon Fund (P-PEXX) terms & fees Terms Fees4 Tax reporting 1099 DIV1 Asset-based fee Class 1: 1.45% Investor qualifications Accredited Investors2 Incentive fee None Minimum investment Class 1: $50,000 Capital calls None Subscriptions Monthly Valuations Monthly Liquidity Quarterly 3 Pantheon V
Slide 27: Performance (as of 5/31/2024)
AMG Pantheon Fund (P-PEXX) Performance (as of 5/31/2024)1 MTD (%) QTD (%) YTD (%) 1Yr (%) 3Yr (%) 5Yr (%) Since Incpt. (%) 30 24.92 25 20 15 14.02 12.76 12.26 10.31 11.23 10.52 9.52 10 6.67 4.47 5 2.56 2.20 1.48 0.58 0 Share Class MTD (%) QTD (%) YTD (%) 1Yr (%) 3Yr (%) 5Yr (%) Since Incpt. (%)2 Nav
Slide 28: Performance (as of 3/31/2024)
AMG Pantheon Fund (P-PEXX) Performance (as of 3/31/2024)1 MTD (%) QTD (%) YTD (%) 1Yr (%) 3Yr (%) 5Yr (%) Since Incpt. (%) 30 25.11 25 20 14.49 15 12.87 12.07 12.32 11.16 10.66 10 8.88 8.88 8.60 5 3.21 1.06 1.06 0 -0.13 -5 Share Class MTD (%) QTD (%) YTD (%) 1Yr (%) 3Yr (%) 5Yr (%) Since Incpt. (%)2
Slide 29: Monthly and calendar year performance
AMG Pantheon Fund (P-PEXX) Monthly and calendar year performance1,2 (as of 5/31/2024) Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Year 2015 – – – – – – – – – 1.38% 0.00% 0.10% 1.48% 2016 -0.68% -0.20% 0.69% 0.00% 0.20% 0.00% 0.29% 0.29% -0.10% -0.48% 1.85% 0.10% 1.95% 2017 0.00% 1.24% 1.04%
Slide 30: Top Private Equity Managers in AMG Pantheon Fund
Top 10 Private Equity Managers in AMG Pantheon Fund (P-PEXX) Number of positions in Private Equity Manager1 % of NAV2 P-PEXX Geography 8 Co-investments Insight Venture Partners 7.58% North America 6 Secondaries 4 Co-investments Altamont Capital Partners 3.92% North America 2 Secondaries 3 Co-investm
Slide 31: Top Private Equity Managers in AMG Pantheon Fund
Top 10 Private Equity Managers in AMG Pantheon Fund (P-PEXX) Number of positions in Private Equity Manager1 % of NAV2 P-PEXX Geography Morgan Stanley Capital 2.67% 2 Secondaries North America Partners Five Arrows Principal 3 Co-investments 2.42% Europe Investments 1 Primary Digital Colony Partners 2
Slide 32: Appendix
APPENDIX
Slide 33: Disclosure – Case Study on GPs
Disclosure – Case Study on GPs These case studies are examples of specific private transactions made by Pantheon funds / clients and are designed to assist prospective investors / clients to understand Pantheon’s investment management style / strategy. It should NOT be regarded as a recommendation.
Slide 34: Disclosures and general risks
Disclosures and general risks Investors should carefully consider the Fund’s investment objectives, risks, charges and expenses before investing. For this and other information, please call 1-877-355-1566 or visit www.pantheon.com/private-wealth-overview/amg-pantheon-fund/ for a prospectus. Read it
Slide 35: Disclosures and general risks (continued)
Disclosures and general risks (continued) Underlying funds will not be registered as investment companies under the Investment Company Act of 1940, as amended (the “1940 Act”), and the Master Fund’s investments in underlying funds will not benefit from the protections of the 1940 Act. The value of t
Slide 36: Disclosures and general risks (continued)
Disclosures and general risks (continued) Investment program risks (continued) • An Investment Fund manager’s investments, depending upon strategy, may be in companies whose capital structures are highly leveraged. Such investments involve a high degree of risk in that adverse fluctuations in the ca
Slide 37: Description of commonly used indices
Description of commonly used indices Description of commonly used indices This list may not represent all indices used in this material. Pantheon does not attest to or verify the accuracy of the underlying data sourced from these indices and databases. MSCI World Index is a free float‐adjusted marke
Slide 38: Description of commonly used indices (continued)
Description of commonly used indices (continued) Description of commonly used indices This list may not represent all indices used in this material. Pantheon does not attest to or verify the accuracy of the underlying data sourced from these indices and databases. Cambridge Associates Private Invest
Slide 39: Definitions
Definitions Buyout: Funds that acquire controlling interests in companies with a view towards later selling those companies or taking them public. Co-investment: Portfolio company investments alongside a private equity fund. Infrastructure (Core Plus): Funds that generally invest in long-term assets