Zürcher Kantonalbank has reached the first close of its Swisscanto (CH) Private Equity Switzerland Growth II fund, also referred to as Swiss Growth Fund II, with commitments totaling $216 million. The vehicle marks the bank’s second dedicated Swiss growth fund and will channel most of its capital into companies based and operating in Switzerland. With this milestone, the bank is moving from fundraising into active deployment across selected growth-stage businesses.
Strong First Close in a Tough Fundraising Environment
The capital raising process began in March 2025 and achieved its first close just eight months later, despite what the bank describes as a challenging fundraising climate. The fund has already reached a size that is close to its 2020 predecessor, Swiss Growth Fund I, which closed at $227 million. Zürcher Kantonalbank itself is acting as a key anchor investor with a $31.4 million commitment, while the overall investor base has expanded from 36 to 45 participants between the first and second funds.
Investor Base and Access for Pension Funds
The fund remains open to qualified investors who have a long-term outlook and are comfortable with illiquid private equity positions. Pension funds can participate indirectly through the Swisscanto Investment Foundation, which offers them a regulated access route into the strategy. Under Article 53, paragraph 1, letters dter and e of the BVV 2 ordinance, such commitments qualify as alternative private equity investments and may be treated as unlisted Swiss investments in institutional portfolios.
Investment Focus on Swiss and European Growth Companies
Following this initial close, Swiss Growth Fund II will begin investing in unlisted growth companies across Switzerland and selected European markets. The primary focus will be on Swiss firms that offer innovative technologies and scalable business models in healthcare, industrial sectors, and information and data services. While Switzerland remains the core geography, Zürcher Kantonalbank’s asset management arm will also use its network to identify attractive opportunities abroad that fit the fund’s mandate.
Role within Zürcher Kantonalbank’s Private Markets Platform
Swiss Growth Fund II is the third program under Zürcher Kantonalbank’s broader private markets initiative, which sits within its asset management division. Alongside this new fund, the platform already includes the first Swiss Growth Fund and a global Decarbonisation Fund concentrating on solutions that reduce emissions, the latter having closed successfully in October 2024. Combined, these three private equity programs now manage nearly $628.5 million, supported by a steadily expanding specialist team.
Outlook and Fundraising Timeline
The final close of Swiss Growth Fund II is expected in the fourth quarter of 2026, and until then the vehicle will continue to raise additional capital. Management sees the strong first close and enlarged investor base as validation of the strategy’s track record and relevance in the current market. “The result reflects the trust placed in us by both existing and new investors, and we are further strengthening our position in Swiss growth companies and decarbonisation solutions,” said Iwan Deplazes, Head of Asset Management at Zürcher Kantonalbank.
With its first close completed, Swiss Growth Fund II is now positioned to deploy fresh capital into high-potential Swiss and European growth companies. The fund builds on the momentum of its 2020 predecessor while anchoring Zürcher Kantonalbank’s ambitions in private markets and sustainability-focused strategies. As fundraising continues toward an anticipated 2026 final close, the bank is aiming to deepen its role as a key backer of innovation, industrial transformation, and decarbonisation within and beyond Switzerland.