The LTAF will start with almost £150m from Aviva in a mix of assets and cash and will have no fixed lifespan. It will invest with a UK bias in Europe and North America across fintech and insurtech, healthtech, science and technology, and climate and sustainability.

Aviva has targeted an overall return of 15% per year on a five-year rolling basis. It will make its venture investments through third-party funds and other evergreen vehicles.

Dame Amanda Blanc, group CEO at Aviva, said: “Aviva is investing more and more in the UK, to support growth and back Britain’s flourishing early-stage companies. This new fund will provide vital finance to some of the UK’s most promising, high-growth businesses, aiming to deliver great returns for our customers.”

This will be the fourth LTAF launched by Aviva, following the Multi-Sector Private Debt LTAF in November.

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Mark Versey, chief executive officer at Aviva Investors, said: “This fund marks another step in our ambition to unlock the benefits of Private Markets for more investors, and to be the go-to provider for the UK’s DC and Wealth markets. We are incredibly pleased to expand our LTAF range further, making it easier for investors to allocate more to these asset classes and to enjoy the returns and diversification they can offer.

“Targeting venture returns, we expect our new fund to help the companies of tomorrow get ready for the future, driving innovation and growth through investments that also have the potential to have a positive societal and environmental impact.”

While the figure is a drop down from 2023’s 23 listings, proceeds raised in 2024 far outpaced the previous year. While 2023 raised £953.7m, 2024 increased by over 250% to £3.4bn in proceeds. This was largely stimulated by the listing of media and entertainment company Canal+. Since its listing on 16 December, the stock has dropped 1.77%.

Delisting was a much more common practice in 2024, with 88 companies leaving completely or transferring their listing from the main market. While some left due to liquidity or valuation issues, others moved to different markets, primarily the US, to access higher trading volumes.

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The last quarter of the year showed more promise for the UK market, however, with eight IPOs including Canal+.

Scott McCubbin, EY UKI IPO leader, said: “It’s been quiet year for the London Stock Exchange and, while Q4 activity picked up significantly, headwinds facing the UK’s listings market remain. Ongoing geopolitical instability, slow economic growth and a diminished appetite for domestic equities among pension funds have impacted valuations and liquidity. We also saw the largest outflow of companies from the main market since the global financial crisis as companies sought access a deeper pool of investors and the prospect of improved liquidity on other exchanges.

“But as we enter 2025, there are reasons for cautious optimism. A stabilised domestic policy environment post-election, robust pipeline of deals, and listings reform are creating opportunities to restore London’s competitiveness, which could drive a rebound in activity in H1 2025. Businesses eyeing IPOs will be closely watching the market to time their public offerings effectively.”

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IPO volumes globally also fell in 2024 by 10%, with 1,215 deals in total. While India had the greatest number of new listings at 327, the US claimed the most proceeds at $27.6bn.

Grant Humphrey, EY Partner for strategy and transactions, said: “Shifts in monetary policies, rising geopolitical tensions, digital transformation, and new ESG priorities are continuing to reshape the IPO market globally. At the same time, changing dynamics of a connected but increasingly diverse global market mean local economic conditions and regional priorities are playing a greater role in the decision to go public. Despite these changes, there’s growing optimism for a stronger global IPO performance in 2025, with improving economic conditions, supportive monetary policies, and strong liquidity creating opportunities.”