1 Assumes re-investment of dividends at the closing
NAV or share price on the ex-dividend date.
2 Returns are presented on a “gross” basis (i.e. they do
not reflect the management fees, carried interest,
transaction costs and other expenses that may be
paid by investors, which may be significant and will
lower returns). Past performance is not a guarantee
of future returns.
3 All performance figures assume re-investment of
dividends at NAV on the ex-dividend date and reflect
cumulative returns over the relevant time periods
shown and are not annualised returns.
4 The MSCI World Index captures large and mid-cap
representation across 23 Developed Markets (DM)
countries. With 1,465 constituents as of 29 March
2024, the index covers approximately 85% of the
free float-adjusted market capitalisation in each
country (MSCI World Factsheet, 29 March 2024,
the latest available). The benchmark performance
is presented for illustrative purposes only to show
general trends in the market for the relevant
periods shown. The investment objectives and
strategies in the benchmark may be dierent than
the investment objectives and strategies of NBPE
and may have dierent risk and reward profiles.
A variety of factors may cause this comparison to
be an inaccurate benchmark for any particular
fund and the benchmarks do not necessarily
represent the actual investment strategy of a fund.
It should not be assumed that any correlations to
the benchmark based on historical returns would
persist in the future. Indexes are unmanaged and
are not available for direct investment. Investing
entails risks, including possible loss of principal.
Past performance is no guarantee of future results.
5 Includes full and partial exits only over the last five
years. Returns are presented on a “gross” basis (i.e.
they do not reflect the management fees, carried
interest, transaction costs and other expenses that
may be paid by investors, which may be significant
and may lower returns).
6 Includes full and partial exits over the last five years.
Returns are presented on a “gross” basis (i.e. they do
not reflect the management fees, carried interest,
transaction costs and other expenses that may be
paid by investors, which may be significant and may
lower returns).
7 As of June 30, 2023.
8 As of December 31, 2023.
9 Please note beginning December 31, 2023, NB
Private Markets revised the Aggregate Committed
Capital calculation methodology. As of December
31, 2023 and going forward, Aggregate Committed
Capital represents total commitments to active
vehicles (including commitments in the process
of documentation or finalization) managed by
NB Private Markets. Prior to December 31, 2023,
Aggregate Committed Capital reflected total
committed capital since inception in 1987,
including liquidated vehicles. Using the previous
methodology, NB Private Markets Aggregate
Committed Capital was $123 billion as of December
31, 2023, broken down as follows: Primaries, $41 bn;
Co-Investments, $36 bn; Secondaries, $20 bn;
Private Debt, $16 bn; Capital Solutions, $6 bn; and
Direct Specialty Strategies, $5 bn.
10 Includes Limited Partner Advisory Committee seats
and observer seats for PIPCO and Secondaries since
inception as of December 31, 2023.
11 As of January 31, 2024.
12 For illustrative and discussion purposes only. PRI
grades are based on information reported directly
by PRI signatories, of which investment managers
totaled 3,123 for 2023, 2,791 for 2021, 1,545 for 2020
and 1,247 for 2019. All PRI signatories are eligible
to participate and must complete a questionnaire
to be included. All PRI signatories are eligible to
participate and must complete a questionnaire to
be included. The underlying information submitted
by signatories is not audited by the PRI or any other
party acting on its behalf. Signatories report on their
responsible investment activities by responding to
asset-specific modules in the Reporting Framework.
Each module houses a variety of indicators that
address specific topics of responsible investment.
Signatories’ answers are then assessed and results
are compiled into an Assessment Report. Neuberger
Berman pays a fee to be a member of PRI and the
grades are only available to PRI members. Ratings
referenced do not reflect the experiences of any
Neuberger Berman client and readers should not
view such information as representative of any
particular client’s experience or assume that they
will have a similar investment experience as any
previous or existing client. Awards and ratings are
not indicative of the past or future performance
of any Neuberger Berman product or service.
Moreover, the underlying information has not
been audited by the PRI or any other party acting
on its behalf. While every eort has been made to
produce a fair representation of performance, no
representations or warranties are made as to the
accuracy of the information presented, and no
responsibility or liability can be accepted for damage
caused by use of or reliance on the information
contained within this report. Information about PRI
grades is sourced entirely from PRI and Neuberger
Berman makes no representations, warranties or
opinions based on that information.
13 Based on the average scores of reporting investment
management signatories globally with AUM greater
than $50bn.
14 As of March 31, 2024.
15 Revenue & EBITDA Growth: Past performance
is no guarantee of future results. Fair value as
of 31 December 2023 and the data is subject to
the following adjustments: 1) Excludes public
companies, Marquee Brands and other investments
not valued on multiples of EBITDA. 2) Analysis based
on 65 private companies. 3) The private companies
included in the data represent approximately 84%
of the total direct equity portfolio. 4) The following
exclusions to the data were made: a)EBITDA
growth of one company (approximately 2% of
value) was excluded from the data as the Manager
believed the growth rate was an outlier due to an
extraordinary high percentage change b) EBITDA
growth of one company (less than 1% of value)
was excluded due to the anomalous percentage
change c) three companies (less than 1% of direct
equity fair value) were held less than one year and
excluded from data due to noncomparable periods
of revenue and/or EBITDA prior to private equity
ownership. The Portfolio company operating
metrics are based on the most recently available
(unaudited) financial information for each company
and based on as reported by the lead private equity
sponsor to the Manager as of 19 April 2024. Where
necessary, estimates were used, which include
pro forma adjusted EBITDA and other EBITDA
adjustments, pro forma revenue adjustments, run-
rate adjustments for acquisitions, and annualised
quarterly operating metrics. LTM periods as of
31/12/23 and 30/9/23 and 31/12/22 and 30/9/22.
LTM revenue and LTM EBITDA growth rates are
weighted by fair value.
16 Approximately 98% of the direct investment
portfolio (measured on 31 December 2023 fair
value) is on a no management fee, no carry basis
to underlying third-party GPs. Key Information
Document is available on NBPE’s website.
17 Represents uplift from valuation versus the
valuation three quarters prior to an announced exit.
Includes partial realisations. Returns are presented
on a “gross” basis (i.e. they do not reflect the
management fees, carried interest, transaction costs
and other expenses that may be paid by investors,
which may be significant and will lower returns).
Past performance is not a guarantee of future returns.
18 The FTSE All-Share Index represents the
performance of all eligible companies listed on
the London Stock Exchange’s (LSE) main market,
which pass screening for size and liquidity. The index
captures 98% of the UK’s market capitalization
(FTSE All Share Factsheet, 28 March 2024, the latest
data available). The benchmark performance is
presented for illustrative purposes only to show
general trends in the market for the relevant
periods shown. The investment objectives and
strategies in the benchmark may be dierent than
the investment objectives and strategies of NBPE
and may have dierent risk and reward profiles.
A variety of factors may cause this comparison to
be an inaccurate benchmark for any particular
fund and the benchmarks do not necessarily
represent the actual investment strategy of a fund.
It should not be assumed that any correlations to
the benchmark based on historical returns would
persist in the future. Indexes are unmanaged and
are not available for direct investment. Investing
entails risks, including possible loss of principal.
Past performance is no guarantee of future results.
19 Realisations announced in 2023, not all of which had
closed. $171 million received during 2023, of which
$20 million was received in 2023 from announced
transactions during 2022.
20 Unfunded commitments are adjusted for amounts
the Manager believes are unlikely to be called.
As of 31 December 2023, actual unfunded
commitments are comprised of $49.6 million,
$27.0, and $5.3 million to direct equity investments,
income investments, and fund investments,
respectively. Unfunded amounts are to funds only
and exclude direct investments committed to but
not yet closed.
21 Assume re-investment of dividends at NAV on the
ex-dividend date.
22 Valuation & Leverage: Past performance is no
guarantee of future results. Fair value as of 31
December 2023 and subject to the following
adjustments. 1) Excludes public companies,
Marquee Brands and other investments not valued
on a multiple of EBITDA. 2) Based on 65 private
companies which are valued based on EV/EBITDA
metrics, but excludes two companies due to the
following: a) one company used an industry-specific
metric as a measurement of cash flow b) one
company was valued based on a recent transaction
pricing. 3) The private companies included in the
data represents 74% of direct equity investment
fair value. 4) Companies not valued on multiples
of trailing EBITDA are excluded from valuation
statistics. 5) Leverage statistics exclude companies
with net cash position and leverage data represents
75% of direct equity investment fair value. Portfolio
company operating metrics are based on the most
recently available (unaudited) financial information
for each company and are as reported by the lead
private equity sponsor to the Manager as of 19 April
2024, based on reporting periods as of 31 December
2023 and 30 September 2023. EV and leverage data
is weighted by fair value.
23 Debt Covenant Statistics: Past performance
is no guarantee of future results. Fair value as
of 31 December 2023, subject to the following
adjustments. 1) Excludes public companies.
ENDNOTES
114
STRATEGIC REPORT NB Private Equity Partners Annual Report 2023GOVERNANCE OTH ERFINANCIALS