Private Equity Pledge Funds: Leveraging an Emerging Alternative to Traditional Investment Fund Models

Structuring Terms, Conditions, Operations and Complying with Investment Advisers Act

Recording of a 90-minute CLE webinar with Q&A


Conducted on Thursday, March 27, 2014

Recorded event now available

or call 1-800-926-7926
Program Materials

This CLE webinar will discuss features of pledge funds and the pros and cons of these industry funds compared to blind pool funds or the separately managed account model. The program will also address where the pledge fund fits in the current regulatory landscape since the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Description

Specialization is changing the private equity market as industry-focused strategies increase in popularity. In recent years, the alternative asset market has paid increasing attention to fundraising alternatives, including a revival of interest in “pledge fund” structures.

As the fundraising market tightens and investors increase their interest in “direct” investments, fund sponsors have turned to pledge funds. These funds can present an attractive midpoint between the direct investment model and a fully committed blind pool and enable sponsors to have some certainty in funding their deals.

Similarly, investors that have moved away from the blind pool in favor of a more-directed strategy can find the pledge model very attractive. Pledge funds allow investors to retain discretion over their investment decisions by being able to opt in or opt out on a deal-by-deal basis.

Listen as our authoritative panel of practitioners discusses the benefits and pitfalls of industry pledge funds and how they contrast with blind pool funds or the separately managed account model. The panel will discuss how pledge funds fit in the current regulatory landscape since the Dodd-Frank Wall Street Reform and the Consumer Protection Act.

READ MORE

Outline

  1. Background and structure
  2. Terms and conditions
    1. Management fees
    2. Carried interest
  3. Pledge fund operations: timing and investment process
  4. Structuring pledge funds under the Investment Advisers Act

Benefits

The panel will review these and other key questions:

  • What market factors have caused investors to look more closely at more direct investments?
  • What advantages do pledge funds present for investors?
  • How are sponsor management fees and carried interest structured for pledge funds?
  • How are pledge funds structured under the Investment Advisers Act?

Following the speaker presentations, you'll have an opportunity to get answers to your specific questions during the interactive Q&A.

Faculty

Alex Gelinas
Alex Gelinas

Partner
Sadis & Goldberg

Mr. Gelinas focuses his practice on providing tax advice to investment managers of hedge funds, private equity funds...  |  Read More

Steven Huttler
Steven Huttler

Partner
Sadis & Goldberg

Mr. Huttler has extensive experience in corporate, finance, investment fund and securities matters, including the...  |  Read More

Michael H. Lewis, Jr.
Michael H. Lewis, Jr.
Director, Business Development
SS&C GlobeOp

Mr. Lewis has more than 13 years of experience in financial Services and is a Director of Business Development for...  |  Read More

Other Formats
— Anytime, Anywhere

Strafford will process CLE credit for one person on each recording. All formats include program handouts. To find out which recorded format will provide the best CLE option, select your state:

CLE On-Demand Audio

$297

Download

$297