Hamilton Lane slowly shifts to American-style distribution

Account growth forces gradual change.

Erik Hirsch, vice-chairman of Hamilton Lane, explained in the most recent earnings report how the growth of separately managed accounts and evergreen funds is forcing the firm to shift to the American deal-by-deal model, which distributes carried interest upon the sale of each fund investment. It is thus shifting away from the European model, in which funds withhold distributions until investor capital gets returned.

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Email prepared by Jack Willoughby