NBPE's January NAV Estimate: A Strong Start to 2025

As we step into the new year, NB Private Equity Partners (NBPE), the $1.3bn, FTSE 250-listed private equity investment company managed by Neuberger Berman, has announced its 31 January 2025 monthly NAV estimate. The company's 2.5% total return in January is a solid start to the year, aligning with its historical performance and reflecting the strength of its investment strategy.



NBPE's 2.5% total return in January 2025 is in line with its historical performance, as seen in the following comparison:

* One-year annualised return: 2.1%
* Three-year annualised return: 3.2%
* Five-year annualised return: 1.1%
* Ten-year annualised return: 70.1%

The 2.5% return in January 2025 was driven by several factors, including a 3.0% NAV increase of $37 million from the receipt of private company valuation information, a 1.7% NAV decrease of $22 million attributable to the 1H 2025 dividend accrual, and a 0.4% NAV decrease of $5 million due to the value of quoted holdings. Additionally, a 0.2% NAV decrease of $3 million was attributable to expense accruals, and there was an immaterial impact on NAV from changes in FX.



The 2.8% increase in private company valuations during Q4 2024 is a significant development for NBPE's overall portfolio valuation. This increase reflects the positive performance of the private companies in which NBPE has invested, indicating that the underlying businesses are performing well and can lead to higher returns for NBPE's investors. The 2.8% increase in private company valuations is based on information received so far, and NBPE expects to receive additional updated Q4 2024 financial information in the coming weeks, which may further enhance the portfolio's valuation.

As of 31 January 2025, approximately 78% of the fair value of NBPE's portfolio was based on private company valuation information as of Q4 2024 or based on 31 January 2025 quoted prices. This means that the 2.8% increase in private company valuations has a significant impact on the overall valuation of NBPE's portfolio.

In conclusion, NBPE's 2.5% total return in January 2025 is a strong start to the year, reflecting the company's consistent performance and the positive impact of the 2.8% increase in private company valuations during Q4 2024. As NBPE continues to execute its investment strategy, investors can expect the company to deliver attractive long-term returns while effectively managing risks.