A long-standing aversion toward using technology and automated processes to calculate carry and waterfalls is slowly dissipating, but the private funds industry has some way to go before adoption takes hold across the board.
Whether it’s tenders, intervals, evergreens or hybrids, the private funds industry is seeing a re-emergence of novel fund structures. We spoke to managers and service providers trying to tap a growing base of investors.
Todd Boudreau argues that ILPA’s model LPAs can give emerging managers an edge in a highly competitive market, helping to attract new relationships and reduce the costs and complexities of negotiation.
The organization hopes to spark debate with its new deal-by-deal model LPA, which incorporates recent changes to its whole-of-fund model LPA. Private Funds CFO spoke with some of the people who developed it ahead of the LPA’s release.