InsightsKAP’s insights on private equity investor relations and fundraising
Welcome back to the weekly Re-KAP where we round up market and LP news from the RE PE marketplace (Dec. 13, 2017)
SEC to Focus on Retail Investors in 2018. According to law firm Proskauer’s 2017 Annual Review, the newly appointed SEC Chairman Jay Clayton has outlined high-level guiding principles for the agency which include (i) ensuring protections for retail investors, (ii) positioning the SEC as a regulator which is able to evolve on pace with industry, and (iii) taking a more measured and effects-focused approach to rulemaking. The Proskauer report also described the typical exam format taken by the SEC this year. Fund advisors are subject to one-week on-site visits for inspection, with two weeks’ advance notice and a two or three-hour introductory call from the SEC. Following an on-site visit, the regulator sends queries for firms to answer for a period of up to six months.
The Institutional Limited Partners Association (ILPA) released a model subscription agreement (MSA) for private equity funds. This latest fund document template reflects the organization’s ongoing efforts to streamline fundraising, increase clarity and improve the efficiency of capital formation.
Read more on the KAP Blog about why you should embrace your Chief Compliance Officer!
CAPITAL RAISING UPDATES
TH Real Estate has raised $111 million for U.S. Strategic Industrial Fund. The fund launched earlier this year with a $600 million target. It will invest in industrial assets throughout the U.S.
According to Institutional Real Estate Inc.’s latest Fund Tracker Trend Watch, fundraising totals continue to pull back. Year-to-date 2017 data finds that funds holding final closings have raised about $75 billion. This is $10 billion less than had been raised by this time last year. IREI notes that mega-funds are still dominating the landscape, and it is the decrease in capital raised by these funds that has had a significant impact on the overall capital raised for 2017 (see chart below).
Laurie Gollub was named Chief Operations Officer of Square Mile Capital. Prior to joining Square Mile, she held leadership positions at HFZ Capital Group, Africa Israel USA and Forest City Ratner Companies. She will bring more than 25 years of extensive experience in the industry to Square Mile when she officially joins the firm on Jan. 8, 2018.
LIMITED PARTNER NEWS