Portfolio Advisors LLC has closed a fifth globally diversified real estate fund-of-funds with $437 million in capital commitments.

Darien, Connecticut-based Portfolio Advisors is an employee-owned firm that has more than $34 billion in assets under management. The group provides private real estate, private equity and private debt investment advisory and portfolio management services to investors in North America, Europe and Asia.

The new fund, Portfolio Advisors Real Estate Fund V, will invest in primary funds, secondaries and co-investments. The fund has made nine primary fund commitments, purchased 21 partnership interests on the secondary market and participated in seven direct co-investments since its initial closing in 2013. The group's previous real estate fund-of-funds closed in 2011 with $400 million in commitments.

Limited partners can customize investments by selecting different sectors – global diversified, U.S. only or non-U.S – or decide to commit to the secondary/co-investment unit.

The fund's investors include private and public pension plans, university endowments, private foundations, insurance companies and family offices. About 80 percent of the fund's commitments came from previous investors.

A few other firms have closed funds recently, including Comvest Partners, which closed an $893 million private equity fund earlier in October; and Apollo Aviation Group, which raised an $833 million aerospace fund, also in October. For more, watch Banks, Fund-of-Funds Look to Do One-Off Deals.

Real estate, and more specifically the U.S. housing recovery, has been a driver of M&A activity in the building products sector. Recent transactions include Wynnchurch Capital's investment in Gypsum Technologies Inc., and Masonite International Corp.'s (NYSE: DOOR) deal for USA Wood Door.

Real estate