The primary objective of our Co-Investment Program is to proactively source investment opportunities by leveraging strategic relationships with a select group of private equity managers and following the development of value-driving portfolio companies through the partnership portfolio monitoring process. The Co-Investment Program provides exposure to private equity at significantly lower fees relative to funds-of-funds or traditional direct investment funds.
We intend to primarily invest in middle market buyouts, companies seeking growth capital and select late stage venture capital opportunities. We believe these areas of investment within the private equity asset class can offer the most attractive risk-adjusted returns for investors. We seek to invest in companies with the following characteristics:
- Sizeable customer base and proven business model
- Track record of earnings and cash flow generation
- Clear growth opportunities, driven either organically or through acquisition
- Favorable industry dynamics with minimal regulatory threats
- Primary sponsorship from a fund with deep relevant domain expertise and a strategic plan to optimize the target business during the investment horizon
We believe that opportunities with these characteristics can reduce the operational and financial risk of a co-investment, while offering the opportunity to seek outsized returns through the execution of growth and operational improvement initiatives.
We construct co-investment portfolios comprised of high quality company investments exclusively sourced through relationships with top-performing managers. The key objective of our portfolio construction process is to select the best available investment opportunities, while providing clients with appropriate diversification in terms of industry exposure and stage of investment. We believe that our network of highly sought-after general partner relationships affords a large set of attractive co-investment opportunities.