Fairview Capital’s 2024 Market Review Marks A Milestone: Highlighting Over 1,000 Woman and Minority-Owned Private Equity and Venture Capital Firms

WEST HARTFORD, Conn.--(BUSINESS WIRE)--Fairview Capital, a leading venture capital and private equity investment management firm, today announced the release of its 2024 Market Review of Woman and Minority-Owned Private Equity and Venture Capital Firms. This year marks a significant milestone as the number of woman and minority-owned firms in the United States surpassed 1,000 firms for the first time, reflecting a nearly tenfold increase since Fairview began publishing this data in 2014. The pace of this growth has evolved consistently, amidst significant structural shifts in the private markets, from changing institutional priorities to broader economic and political forces reshaping the investment landscape.

"We are excited to see over 1,000 woman and minority-owned firms active across the private equity and venture capital ecosystem,” said Dr. Kola Olofinboba, Managing Partner at Fairview Capital. "This growth is a testament to the resilience and innovation exhibited by these firms across the private markets.”

The report highlights a record 537 woman and minority-owned firms actively raising capital in 2024, marking the largest year-over-year increase since 2019. New firms were a major driver of this growth, with 284 of the firms in market raising first-time funds, representing 53% of the opportunity set.

“The continued rise in first-time funds in market is a notable reflection of current dynamics in the private markets,” said Aakar Vachhani, Managing Partner at Fairview Capital. “We’re seeing sustained conviction from talented managers eager to launch their own firms, with increased spin-out activity from larger, more established platforms. At the same time, many of these first-time fundraises are taking longer to complete, often stretching across multiple years – indicative of both the persistence of new managers and the selectivity of today’s fundraising environment.”

A Challenging Fundraising Environment

The median fund size target for woman and minority-owned firms in market decreased from $100 million in 2023 to $75 million in 2024, reflecting both the surge in new firm formation—since first-time funds are typically smaller—and more modest fund size increases for successor funds. The gap between fund sizes of woman and minority-owned firms and the broader market remains significant, with signs that it may continue to widen. The report also highlights a shift in fundraising outcomes: between 2014 and 2021, approximately 44% of woman and minority-owned firms in market closed funds at or above target each year, compared to an average of just 24% from 2022 to 2024.

Growth & Opportunity

The report also explores the opportunity set by sub-asset class, with venture capital continuing to dominate. In 2024, 76% of woman and minority-owned firms in market were raising venture capital funds, tying an all-time high.

In addition to broader market observations, the report also highlights demographic-specific trends. Woman-owned firms continue to experience steady growth and increasing institutionalization. Across the demographic groups, Fairview observed continued expansion underpinned by novel strategies.

“The dynamics outlined in this year’s report reflect both challenge and opportunity,” noted Kwesi Quaye, Partner at Fairview Capital. “While market conditions remain uncertain, innovation—particularly the rise of AI—will help shape the future of new firm formation, investment decision-making, and value creation. We remain optimistic that institutional investors who continue to engage programmatically in this space are well-positioned to benefit from the next wave of opportunities.”

About Fairview Capital:

Fairview Capital is a leading venture capital and private equity investment management firm founded over 30 years ago. With over $10 billion under management since inception, the firm invests on behalf of institutional investors, including the world’s leading public and private pension plans, foundations, and endowments. Fairview is renowned for its entrepreneurial spirit, dynamic relationships, thesis-driven investment approach, and leadership that continues to shape the industry. Headquartered in West Hartford, CT, Fairview Capital also has an office in San Francisco, CA. For more information visit: www.fairviewcapital.com.