Alternative Investment Due Diligence

Our process follows a rigorous framework: qualitative (manager track record, philosophy) and quantitative (Sharpe/alpha metrics, drawdowns). We review DDQs for operational risks like valuation policies and IT infrastructure, conducting onsite visits and background checks per AIMA standards. For private equity, we assess IRR (internal rate of return) and MOIC (multiple on invested capital), targeting 0-20% allocations based on liquidity needs.
Hedge funds are scrutinized for alpha generation post-fees (1-2% management, 20% performance), with stress tests for correlations in crises. Real estate due diligence includes cap rates (NOI/property value) and LTV ratios for leverage risks. We emphasize ODD to flag red flags like inadequate BCP or fraud potential.
Allocations align with 2026 trends like AI infrastructure, with reports on net returns (after 2-3% fees) and illiquidity premiums (3-5% over publics). Annual reviews ensure compliance and performance.