Northern Trust’s Private Equity Group is focused on providing comprehensive private equity solutions to its investors. Since 2001, the group has managed a series of fund-of-funds and separate accounts for wealthy families and institutions. Leveraging the Northern Trust platform, we strive to deliver outstanding risk-adjusted returns.
Private Equity Investing
Northern Trust manages private equity fund-of-funds and separate accounts. Our strategy never wavers: we search for top-tier, over-subscribed managers whose style and strategies fit with a broader portfolio allocation, while providing diversification by vintage year, geography and sector, to generate superior risk-adjusted returns. We leverage our extensive relationships in the general and limited partnership communities, as well as Northern Trust’s brand and platform to access invitation-only funds. We are focused on three broad sub-sectors of the private equity market: leveraged buyout, venture capital and secondaries.
Private Equity Sectors
The private equity asset class encompasses several different sectors that have different risk/return characteristics.
Leveraged Buyout: We target funds in both the U.S. and Europe that are under $1 billion in assets and focused on the lower-middle market. These funds tend to have lower dependence on financial leverage and more focus on operational improvements. We believe smaller funds managed by proven investors can provide the best opportunity for outperformance.
We also opportunistically invest with distressed debt managers looking to ultimately take control of their businesses and create significant operational improvements.
Venture Capital: We look to invest in funds focused on information technology, life sciences and to a limited extent clean technology. Investments are predominately in the U.S., with a small portion in emerging countries such as China and India.
Secondaries: The Private Equity Group selectively buys existing limited partner interests in private equity funds. Secondary investments may mitigate the J-curve and provide quicker return of capital. Secondary transactions are executed in both leveraged buyout and venture capital funds.
About Our Private Equity Group
The Private Equity Group was founded in 2001, but its origins stretch back to the early 1990’s when co-founders Bob Morgan and Brad Dorchinecz first worked together. Since the founding, the group has grown to manage $1.5 billion in private equity assets, and invested in over 145 funds with more than 90 general partners. The group is headquartered in Chicago, and has a satellite office in London, England. Today, we are a part of Northern Trust Alternatives Group, which oversees more than $3.6 billion across multiple alternative asset classes.
Bradley M. Dorchinecz
Bradley M. Dorchinecz is a Senior Vice President and the Director of the Private Equity Group at Northern Trust. He co-founded the Private Equity Group with Bob Morgan in 2001. He oversees all aspects of the investment process for both primary and secondary investments. This includes sourcing and analyzing venture capital and buyout partnership investment opportunities in the United States, Europe and Asia. He previously was an investment professional at Mercantile Capital Partners, a venture capital and growth equity fund located in Northbrook, Illinois. Prior to Mercantile, Bradley spent five years at Heller Financial (now a part of GE Capital), providing senior debt to middle market buyout funds.
Bradley is on the advisory boards for Trinity Ventures, Aleph Ventures, Cowboy Ventures and Sterling Partners. He speaks frequently at industry conferences, including Super Return, Venture Capital Journal's Venture Alpha, Buyouts Midwest, the Association for Corporate Growth Conference, and the European Venture Capital Association Middle Market Buyout Forum. Bradley graduated with High Honors from the University of Illinois in Urbana-Champaign with a degree in finance and received his MBA with Honors from the University of Chicago Booth School of Business.
Investment advisory services are offered by Northern Trust Investments, Inc., an investment advisor registered with the U.S. Securities and Exchange Commission and subsidiary of Northern Trust Corporation.
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