Texas Pacific Group is about to close its $14.25bn (€11.83bn) buy-out fund, which will set a record as the largest raised in the world. But the firm's top position may be short-lived as rival Kohlberg Kravis Roberts is raising a fund that could total $15bn, according to a placement agent.

Appetite for private equity and the superior returns generated by the mega-funds were the main drivers of the inflation, the agent said. Nearly $14bn of Texas Pacific's fund will come from institutional investors, with the remainder from the firm's partners, according to one investor.