GPs will need to raise their standards
Fund managers may be making claims about unprecedented opportunity, but LPs have a close eye on reporting and investing processes.
Expert analysis by Andy Thomson
“Reputations will be made and lost in the next few years, and character will matter as much as technical brilliance,” one of a select group of investors told us for our soon-to-be-published December/January cover story as we sought LPs’ views on private debt’s present and future.
What this comment implied was that, in a period where the winds of change are blowing through financial markets and the political sphere, structural innovation can help GPs to take advantage of emerging opportunity sets. But being first on the scene with new products and approaches is not necessarily the be all and end all. The “character” LPs are looking for in managers is embodied in old-school traits like investment discipline and sticking to core competencies in a time of change.