SECA Yearbook 2020 (SECA (Swiss Private Equity and Corporate Finance Association))

Summary

• Total assets under management invested globally in private markets ballooned to an all-time high of US $6.5 trillion.p.9
• Global private capital fundraising reached USD 919 billion in 2019, nearly matching the record set in the previous year.p.10
• Swiss startups secured CHF 2.3 billion across 266 funding rounds in 2019, demonstrating a strong investment pace.p.10
• The Swiss Entrepreneur Fund successfully raised CHF 250m to deploy in growth capital across Switzerland and abroad.p.20
• Medacta completed an IPO on SIX Swiss Exchange in April 2019 with a transaction volume of CHF 589m.p.22
• Stadler Rail listed on the SIX Swiss Exchange in 2019, generating an IPO transaction volume of CHF 1,530m.p.22

Key insights

1. Limited partners continue shifting global asset allocations into private markets to mitigate public market volatility and seek higher yield.p.9
2. High startup returns in Switzerland were highlighted by four companies reaching the Tech Tour Growth 50 and Crispr Therapeutics joining European unicorns.p.10
3. Closing venture capital mega rounds over CHF 100m allows startup management teams to focus on operational growth rather than constant fundraising.p.20
4. SIX Swiss Exchange tightened rules for direct listings by requiring applications to be submitted by a bank or securities firm to enhance investor protection.p.23
5. The Swiss Corporate Tax and Old Age Insurance Reform took effect on 1 January 2020, abolishing preferential tax regimes like the holding status.p.26
6. The proposed Swiss Limited Qualified Investor Fund will eliminate FINMA product approval to reduce time-to-market and set-up costs.p.29
7. Under the Financial Institutions Act, sub-threshold asset managers managing up to CHF 500 million now face prudential regulation as ordinary portfolio managers.p.31