Johnathan Rickman | Blue Vault
The tender offer fund industry continues to grow in size, steadily boosting capital inflows and assets — and retail access to private market solutions in turn, Blue Vault data shows.
Year-to-date through October 31, 2025, tender offer funds tracked by Blue Vault reported $20.5 billion in capital raise, including DRIP, surpassing the sector’s fundraising of $15.5 billion and $8.9 billion for the same time period in 2024 and 2023, respectively.
The industry also had $100.7 billion in assets under management as of October 31, 2025, surpassing the $77.1 billion reported in 2024 and the $57.5 billion reported in 2023. Blue Vault’s research includes coverage of 55 active tender offer funds, most of which focus on private equity investments, but also include private credit and private real estate strategies.
Distribution
The industry also reported solid historical distribution rates, with the top three in double digits:
| Tender Offer Fund | Historical Distribution Rate |
| NB Crossroads Private Markets Fund IV Holdings LLC | 13.61% |
| Eagle Point Institutional Income Fund | 11.60% |
| Keystone Private Income Fund | 11.58% |
*Blue Vault data as of October 31, 2025
As of October 31, 2025, and based on most recent filings, roughly half of all funds were fully covering their distributions, posting GAAP earnings payout ratios of 100% or less. Some struggled on that front. For instance, NB Crossroads Private Markets Fund IV Holdings LLC, which had the highest historical distribution rate, also had the highest GAAP earnings payout ratio of 475.28%.
Structure/Strategies
Tender offer funds are continuously offered, unlisted closed-end funds. They provide investors with liquidity by periodically offering to repurchase a percentage of their outstanding shares at their net asset value. Unlike interval funds, which redeem shares on a regular basis, share redemptions for tender offer funds are subject to board discretion.
They are similar to interval funds in that they are popular with wealth advisors for their low investment minimums and relative ease of use. And both structures are popular with fund sponsors moving into private equity. The asset class makes it easier for sponsors to sidestep banking processes to raise capital, keeping them laser-focused on fund growth.
Several tender offer funds tracked by Blue Vault engage in real estate strategies while others focus on private credit, such as Keystone Private Income Fund. Depending on your clients’ needs, some of these offerings may be preferable to nontraded REITs or nontraded BDCs, relative to asset class or the latter structures’ most recent industry performance.
Don’t Go It Alone
Learn about Blue Vault membership and how our performance data can help protect your clients, and as such, your advisory practice. Our research includes historical and current data on nontraded REITs, nontraded BDCs, interval funds, tender offer funds, and preferred share stock. Our coverage also includes capital market overviews, financing outlooks, individual performance profiles, and updates on product launches and full-cycle events.
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