Sustainable funds are gaining strength, according to new data from Preqin. The data research group says new private equity funds of funds that focus solely on cleantech investments are looking to raise more capital and surpass their predecessors.
Since fundraising was completed in 2006, the average cleantech fund of funds has closed at $173 million in capital commitments. Preqin estimates that if cleantech funds continued to raise capital and close on target, the size of the average fund would hit nearly $300 million but if history repeats itself, the cleantech fund of funds will successfully achieve their targets.
As for what region will help progress the sustainable funds? The 2011 Preqin Equity Cleantech Review analysis shows most cleantech funds have a home in Europe. However, Preqin research shows more than half of cleantech funds are allocating capital to North America.
Read the full Preqin analysis here: 2011 Preqin Private Equity Cleantech Review
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.