It comes to market with over $875m in AUM from a diversified investor base in Apac, EMEA, Canada and Latin America, according to a statement by the US asset manager.
Co-managed by Franklin Templeton and Lexington, a manager of secondary private equity and co-investment funds, the new vehicle is the firm’s first evergreen fund for the wealth channel internationally.
It has been notified for distribution to professional investors in Hong Kong, Japan, Australia and for accredited investors in Singapore.
He added: “With over $875m in AUM at inception – with a substantial portion coming from investors in Asia – the fund’s initial momentum highlights the growing appetite in the region for global private market opportunities, particularly in the secondary market.”
Designed for wealth channel clients seeking long-term growth opportunities, FLEX-I offers access to an asset class that until recently was primarily available to institutional investors.
The fund’s investment objective is to seek long-term capital appreciation by investing in a diversified portfolio of private equity investments acquired through secondary transactions and co-investments in new private equity transactions alongside leading sponsors.
In addition, FLEX-I will have the flexibility to invest in private assets across asset types, including, but not limited to, buyout, growth, venture, credit, mezzanine, infrastructure, energy and other real assets.
Tim Huang, partner at Lexington said: “FLEX-I is designed to complement our traditional drawdown funds, while offering a more flexible, evergreen structure tailored to investors seeking long-term, risk-adjusted returns.”
“By combining our global private markets expertise with our strong presence in Asia, FLEX-I underscores our commitment to delivering impactful investment solutions to our clients.”
Lexington helped the development of the institutional secondaries market over 30 years ago.
Franklin Templeton’s Asia wealth management team provide a diverse range of alternative asset capabilities including private equity secondaries and co-investment funds (Lexington), private credit (Benefit Street Partners and Alcentra), real estate (Clarion Partners), as well as hedged strategies, venture capital and digital assets. Franklin Templeton manages over $252bn in alternative assets as of 31 March 2025, said the firm.