Asia Alternatives has reached a first close of USD 900m on its seventh fund-of-funds and related vehicles, according to three sources familiar with the situation.

The first close, which came in 4Q25, follows the completion of a secondary transaction comprising multiple LP positions in Asia-based funds – with a net asset value of around USD 400m – from the manager’s earlier vintages. LGT Capital Partners was the sole buyer, two additional sources said.

AVCJ previously reported that Asia Alternatives was looking to raise USD 800m for its flagship commingled fund-of-funds, Asia Alternatives Capital Partners VII. The overall target was USD 1.4bn, including various separately managed accounts (SMEs), the third source added.

Fund VI, which closed in early 2022, comprised a USD 1.1bn commingled fund-of-funds plus USD 900m spread across several parallel vehicles. Similar structures were employed for Funds IV and V, each of which closed on USD 1.8bn, in 2015 and 2017, respectively.

Founded in 2005, Asia Alternatives is one of the oldest independent fund-of-funds in Asia. China has traditionally been its largest market. The firm was the first to secure a qualified foreign limited partner (QFLP) license, which enables offshore investors to access renminbi-denominated funds. It also claims to be the first to open an office in mainland China.

Historically, Asia Alternatives has served as a regional access point for US institutional investors, including numerous state pension plans. The firm also works with corporate pensions, endowments, foundations, insurers, and family offices.

It has a team of 50 operating out of offices in Hong Kong, San Francisco, Beijing, and Shanghai. In addition to making primary fund commitments, the firm is active in secondaries and direct and co-investment.

Asia PE and VC fundraising remains challenged – a consequence of weak distributions and international LPs looking to dial down risk. Weak appetite has not only impacted Asia Alternatives in the regional fund-of-funds universe. Last year, Axiom Asia closed its seventh fund on USD 1.28bn, falling short of the USD 1.8bn target.

Asia Alternatives declined to comment.