Nest Invest's Elizabeth Fernando: Private equity is a key component of our private markets strategy
Nest has surpassed £2bn committed to a private equity mandate managed by HarbourVest Partners.
The commitment has grown from an initial £750m when HarbourVest was first appointed by Nest in 2022.
The mandate is designed to give Nest members diversified exposure to private companies globally – providing exposure to more than 60 privately held companies across 17 countries spanning North America, Europe and Asia-Pacific as well as in the UK, where it invests in nine companies across growth equity and buyout strategies and across a range of sectors.
UK investments through the mandate include 9fin, a London-headquartered artificial intelligence-native financial intelligence platform, and Citation, a Cheshire-headquartered provider of tech-enabled compliance and certification solutions.
The HarbourVest-managed mandate forms part of Nest's broader private equity strategy. As of 30 June 2026, around 5% of Nest's £68.4bn in assets under management was invested in private equity, including around 18% (£566m) invested in UK private companies.
Nest Invest chief investment officer Elizabeth Fernando said: "Private equity is a key component of our private markets strategy to build a more diversified portfolio and deliver strong risk-adjusted returns for our more than 14 million members over the long term. Since 2022, we have steadily increased our commitments to this private equity mandate managed by HarbourVest, giving our members access to investment opportunities beyond public markets so they can benefit from a diversified portfolio of private assets.
"We are pleased to see the mandate investing in innovative UK-founded and UK-based businesses, including 9fin and Citation, alongside opportunities around the world. These businesses require long-term capital from investors such as pension schemes to support their continued growth. As they scale, we can share in the value they create and the returns they generate for our members."
HarbourVest managing director Craig MacDonald added: "Our focus is on finding the most compelling opportunities for Nest's members wherever they are. Against that global backdrop, the UK continues to stand out as an attractive market, with high-quality businesses and strong potential for long-term value creation. Our investments here demonstrate how UK businesses can form an important part of a globally diversified private equity portfolio."
IFM Investors acquisition
The move comes as a fund managed by IFM Investors – the scheme-owned asset manager in which Nest took a 10% stake last year – has agreed to buy a majority stake in Associated British Ports (ABP) from the Canada Pension Plan Investment Board and OMERS.
The Canadian schemes respectively own 33.9% and 30% stakes in ABP. The financial terms of the deal have not been disclosed. The transaction is subject to shareholder and regulatory approvals and is expected to complete in the first half of 2027.
IFM Investors global head of infrastructure Kyle Mangini said: "We are pleased to have reached an agreement where a fund managed by IFM would acquire a majority stake in ABP, the UK's largest ports group with strategically located assets serving some of the country's most important trade and industrial regions.
"We look forward to supporting continued development of ABP's infrastructure and operations, drawing on IFM's long-term investment approach and experience across ports and other essential infrastructure assets. As an investor owned by Australian and UK pension funds, this transaction reflects our longstanding commitment to mobilising pension capital into UK infrastructure."
