Tue, Nov 19, 2019
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Other Voices: ILPA Principles 3.0 reflect changes in the alternatives industry

Friday, July 12, 2019

By: David Warburg, Seyfarth Shaw

Overview

ILPA Updates Its Best Practices Guidance in "Principles 3.0." Responding to private equity and other alternative asset investment trends and new issues, the Institutional Limited Partners Association (ILPA) recently released "ILPA Principles 3.0: Fostering Transparency, Governance and Alignment of Interests for General and Limited Partners." ILPA Principles 3.0 updates and expands on prior ILPA Principles 1.0 (2009) and 2.0 (2011).

Noteworthy Highlights from and New Developments in Principles 3.0

While ILPA 3.0 builds on and comprehensively reiterates prior principles last fully enunciated in ILPA 2.0, it addresses several aspects of private equity and other alternative asset investment that are either recent developments, or were not addressed previously. Summarized below are some of these areas that were not previously addressed by ILPA 2.0, along with the primary ILPA 3.0 recommendations.

Co-Investment Allocations. General partners of funds (GPs) should disclose the framework for allocation of co-invest opportunities and how related expenses will be allocated, including any prioritization. Existing side letter co-invest rights should be disclosed. Where co-investment opportunities have been offered any other GP-managed vehicle, the GP should disclose any potential conflicts to the limited partner advisory committee (LPAC).

Fee and Expense Allocation and Reasonableness. Travel r......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. HarbourVest raises $3bn for Co-Investment Fund V[more]

    Laxman Pai, Opalesque Asia: Boston-based HarbourVest Partners closed its latest private equity fund above the fundraising target - the $3 billion HarbourVest Partners Co-Investment Fund V was oversubscribed and above its $2.5 billion target. The fund's strategy is to create a global, diversif

  2. Opinion: Cliff Asness: It's 'time to sin'[more]

    From Institutional Investor: Timing the market can be "deceptively difficult," as quantitative investor Cliff Asness has pointed out before. But now, the AQR Capital Management co-founder believes that while factor timing is "an ugly thing," it is "about time we did some" - specifically when it com

  3. Investing: Hedge fund Whitebox places big bet on gunmaker Remington, Quant funds exit Japanese bonds in worst sell-off since 2013[more]

    Hedge fund Whitebox places big bet on gunmaker Remington From Reuters: Whitebox Advisors LLC, a credit-focused hedge fund, has been quietly capitalizing on Wall Street's ambivalence toward gun manufacturers by replacing some banks as a lender to Remington Outdoor Company. Whitebox

  4. Tech: Investors race to tech start-ups despite SoftBank stumbles, Two Sigma launches risk management software[more]

    Investors race to tech start-ups despite SoftBank stumbles From FT: Investors are planning to pour billions more dollars into later stage tech start-ups, even as Japan's SoftBank reels from a succession of faltering bets. Stephen Schwarzman's Blackstone plans to raise between $3bn and $4b

  5. Regulatory: Carried interest tax rules slated for 2020, official says[more]

    From Bloomberg: The Treasury Department is planning to issue regulations restricting how hedge fund managers can claim a valuable tax break early next year, a top Treasury official said. The regulations will likely bar money managers from using S corporations to take advantage of an exemption