Target Allocation is the proportion of total investable capital that an investor — whether a fund, LP, or allocator — plans to direct toward a particular strategy, geography, sector, or deal type. For example, a family office might target 20% of its portfolio to Southeast Asian venture capital and 15% to Australian growth equity.
Target Allocation reflects an investor's strategic intent and mandate constraints, and is distinct from Current Allocation, which is the actual deployed amount. The gap between target and current allocation (known as 'under-allocation') signals where an investor is actively seeking new opportunities. Target Allocation data on Alternatives.pe is sourced from fund mandates, public disclosures, and investor questionnaires.