For years, the standard route into high-growth technology companies was straightforward: back them early, support expansion and wait for an IPO or trade sale. That logic still has a place. But private markets no longer operate on the timetable they once did.
Many of the worldâs most valuable technology businesses are remaining private for longer. Theyâre raising substantial capital without listing, scaling globally outside public markets and delaying exits far beyond previous norms. That shift has changed how sophisticated investors think about opportunity.
Itâs also brought renewed attention to one of the most important trends in modern finance: secondaries.
A secondary transaction involves buying existing shares in a private company from current holders, rather than investing through a newly issued fundraising round.
That might once have been seen as a niche strategy. Today, itâs increasingly central to how capital moves through private markets.
As access to elite private companies becomes more competitive, secondaries can offer a practical route into businesses that are already established, already scaling and often already category leaders.
This isnât a workaround. Itâs a reflection of how the market has evolved.
The old path from start-up to stock market has stretched considerably.
A decade ago, successful technology businesses often listed earlier in their growth journey. Public investors could then participate in years of expansion. Today, many companies reach significant scale before considering a flotation.
There are several reasons for this.
Private capital is deeper and more abundant. Founders may prefer to avoid the short-term pressures of listed markets. Boards often want strategic flexibility while investing in product development, talent and international growth.
The result is clear: more value is being created before companies ever reach public exchanges.
For investors relying only on IPO access, that can mean arriving late.
Secondaries can allow investors to enter companies after some of the earliest uncertainty has passed, but before the full value of maturity has been realised.
In practical terms, that can mean investing in businesses with stronger revenues, clearer market fit and more developed operations than earlier-stage opportunities.
That doesnât eliminate risk. But it can change the risk profile.
Instead of backing vision alone, investors may be assessing execution, traction and market position. In a more selective investment climate, that matters.
Secondaries can also help investors build exposure to companies that are otherwise difficult to access through traditional primary rounds.
The growth of secondaries says something bigger about the market itself.
For years, private investing was relatively static. Capital entered and often remained locked in until an acquisition or IPO. By contrast, public markets offered constant price discovery and regular liquidity.
That gap is narrowing.
A stronger secondary market creates more flexibility for everyone involved. Early investors can recycle capital. Employees can realise value. New investors can gain access. Founders can manage ownership structures more effectively.
Thatâs what maturing markets tend to do: they become deeper, more efficient and more dynamic.
Popularity alone doesnât make any strategy attractive.
Not every secondary deal is compelling. Company quality matters. Valuation matters. Governance matters. Information quality matters. Entry price matters.
Thereâs always a risk that investors confuse scarcity with value. A famous company name isnât, by itself, an investment thesis.
The strongest investors in secondaries combine access with patience, analysis and pricing discipline.
Thatâs where long-term returns are built.
Secondaries are no longer a side story in venture and growth investing. Theyâre becoming a defining feature of the next phase of private capital.
They provide liquidity in a slower exit environment, create access in markets defined by scarcity, and offer a more flexible way to invest in high-quality private companies.
Most importantly, they reflect a simple truth: successful investing depends on understanding how markets work now, not how they worked before.
For those looking at the future of private technology, secondaries are increasingly where the opportunity sits.
About Nicole Junkermann
Nicole Junkermann is an international investor focused on technology, artificial intelligence and life sciences. She is the founder of NJF Holdings, leading its venture arm NJF Capital, which backs early-stage companies in deep tech, healthcare and data-driven systems, and Gameday by NJF Holdings, focused on technology-led transformation in sport and media.
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