Equalization Payments in Private Equity: What You Owe When You Join a Fund Late
An equalization payment is the catch-up contribution a new limited partner (LP) makes when joining a private equity fund after its first closing, plus an interest charge that compensates the fund's or
Fund Extensions and Harvest Periods: What Happens When a PE Fund Outlives Its 10-Year Term
A fund extension is a clause in a private equity fund's limited partnership agreement (LPA) that lets the general partner (GP) keep operating the fund past its stated 10-year term, usually in one-year
The Secondaries Boom Has a Pricing Problem Nobody Is Talking About
Everyone in private equity is celebrating the secondaries market right now, and I think that celebration is premature. The headline numbers look great: Adams Street closed a fund north of $5 billion,...
How to Vet a GP-Led Continuation Fund Before You Commit Capital
Roughly half of all secondaries capital now flows into GP-led continuation funds, according to Adams Street Partners , which puts continuation vehicles at close to 50% of its 2026 secondaries...
Recallable Capital and Recycling Provisions: What They Really Cost LPs
Recycling provisions let a private equity general partner reinvest exit proceeds instead of returning them to you, and recallable capital lets the GP pull back a distribution you already banked....
NAV Loans in Private Equity: How Fund-Level Financing Works, and the DPI Controversy LPs Need to Watch
A NAV loan is a line of credit that a private equity fund borrows against the current value of the companies it already owns, not against the money its investors still owe. The market has grown to rou
Subscription Lines of Credit: How Sub Lines Distort Reported PE/VC Fund IRR
A six-month delay in calling capital can add close to two full percentage points to a private equity fund's reported IRR without changing a single dollar of profit. According to the Kenan...
GP Commitment Explained: How Much Skin Should Your Fund Manager Actually Have in the Game
The 1-5% GP commitment benchmark hides a catch: fee-waived commitments are weaker than cash. Here's where to check the Form ADV, PPM, and LPA before you wire.