General Partner and Investor Perspectives and the Investment Process

Free CFA Level III: Private Markets lesson in GP & Investor Perspectives. 23 min read, ~3,437 words.

GP runs sourcing, due diligence, structuring, value creation, and exits across a 10 to 12 year fund life; LPs are passive and locked in. Standard fees: 2% management on committed during the investment period (then on invested), 20% carry above an 8% preferred return, 1 to 5% GP commit; the...