Since the most important element of a fund of funds' or multi-manager portfolio's
performance is its underlying hedge funds, it is critical that you know everything
there is to know about those fund managers. HedgeOp's Due Diligence Research and Reporting Division
works with fund of hedge funds and other institutional investors to create a due diligence infrastructure
and record-keeping system for researching and evaluating potential hedge fund managers.
Utilizing a variety of online resources combined with our experience with fund documentation and structures, we
perform extensive research on prospective hedge fund managers. We also work with our
clients in the development of: (1) document/informational
requests, (2) service provider authorizations; and (3) consent and release forms. All
of these are important aspects of streamlining the due diligence process.
HedgeOp adds value to the non-investment due diligence process by
reviewing the offering document materials of the underlying fund and preparing a report
summarizing the fund's investment terms, while drawing attention to terms that may not reflect
industry standards. We also focus on highlighting any inconsistencies between the various
disclosure documents.
We believe that our due diligence reporting services are extremely comprehensive and unique
(as they are completed by professionals with hedge fund expertise) and can be a very important
tool/resource for our clients. The scope of our due diligence reports includes (but is not limited to):
- Offering document review/summary
- Good standing checks of fund and management entities
- SEC filings research (e.g., 13D, 13G, 13F etc.)
- Regulatory filings/license record research
- Web-based public record research (e.g., civil and criminal records, judgments, liens, bankruptcy filings, etc.)
- NASD violations or disciplinary issues
- Anti-money laundering watch-list review
- Educational/employment verifications of the manager's key portfolio personnel
- Service providers verifications
- News articles research
- Credit report checks, if consent is provided
- Marketing/performance report review, if made available
- Financial statement review (limited to check for qualifications), if made available
- Due diligence questionnaire review, if made available
Please
contact us for more information about these services or to request a sample report.