Goldman Sachs and Evercore Explore Evergreen Fund Models
Investment banks are designing new private equity structures to extend portfolio company holding periods to fifteen years.
Updated on Oct. 20, 2026 in Financial Planning
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Goldman Sachs and Evercore are developing evergreen continuation vehicles that allow private equity sponsors to retain portfolio companies for up to 15 years. These structures aim to provide greater flexibility for long-term growth compared to typical five-year fund arrangements.
Why it matters
Sponsors are seeking alternatives to traditional exit pressures, allowing them to manage assets over longer horizons to support company development. This shift could redefine how private equity investors realize returns and manage capital across extended cycles.
These proposed vehicles target retention periods of 10 to 15 years, significantly exceeding the five-year lifespan typical of conventional continuation funds. Global secondary transactions reached $121 billion during the first half of 2026.
The players
Goldman Sachs
Goldman Sachs is a leading global investment bank providing financial advisory, asset management, and securities services to corporations and governments.
Evercore
Evercore is an independent global investment banking advisory firm that provides strategic advice and capital market solutions.
Jefferies
Jefferies is a diversified global financial services company that provides investment banking and capital markets services to institutional and corporate clients.
Raymond James
Raymond James is a diversified financial services firm offering investment banking, capital markets, and wealth management services.
Lazard
Lazard is a global financial advisory and asset management firm that assists clients with strategic transactions and capital restructuring.
The details
The proposed structures include exit mechanisms such as asset distributions, new investor capital, and tender offers, while enabling existing investors to swap current holdings for commitments to the new funds. Additional firms involved in these discussions include Jefferies, Raymond James, and Lazard.
Timeline
H1 2026: Continuation funds captured a major share of $121 billion in global secondary transaction volume.
Market Dynamics
The proposed 15-year model marks a significant departure from the standard five-year continuation fund cycle by triple-stacking the expected holding duration. These structural changes reflect a broader transition away from short-term exit mandates in private equity.
Investors may find these structures offer new avenues to exchange current holdings for commitments to longer-term funds, potentially altering portfolio liquidity profiles. Institutional stakeholders should monitor how these arrangements impact capital allocation and fee structures.
The takeaway
These potential structures indicate a move toward more flexible asset management horizons in private equity. Investors should evaluate how extended holding periods affect their own liquidity requirements and long-term capital strategies.
Further reading
For more on managing long-term capital, visit the Financial Planning section.
Source note: This article includes information reported by Private Equity Wire.
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