Key Takeaways
- • Houlihan Lokey's Matt Swain argues that co-investment allows limited partners to pursue opportunities that fall outside the often narrow mandates of traditional private equity fund investments.
- • Swain contends that concerns about style drift miss the core value of co-investment, which he frames as a way to escape the constraints of fund structures.
- • The article is an opinion piece published by Private Equity International (PEI), and the full text is behind a registration wall.
Summary
In an opinion piece published by Private Equity International (PEI), Matt Swain of Houlihan Lokey argues that co-investment offers investors a means to pursue opportunities that do not fit within the typically narrow parameters of traditional private equity fund investment.
Swain addresses a common objection to co-investment, namely that it can cause style drift, where an investor's portfolio moves away from its stated strategy. He argues that this concern overlooks the central appeal of co-investment, which lies in giving investors flexibility to access specific deals outside the fund's defined scope.
The available text is limited to the article's introduction, as the remainder of the piece is restricted to registered PEI subscribers. The article therefore does not provide specific deal values, fund figures or examples beyond the author's general thesis.
Swain addresses a common objection to co-investment, namely that it can cause style drift, where an investor's portfolio moves away from its stated strategy. He argues that this concern overlooks the central appeal of co-investment, which lies in giving investors flexibility to access specific deals outside the fund's defined scope.
The available text is limited to the article's introduction, as the remainder of the piece is restricted to registered PEI subscribers. The article therefore does not provide specific deal values, fund figures or examples beyond the author's general thesis.
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