The use of fund-level subscription line facilities by private equity and private debt funds is in the public spotlight. While the focus is increasingly on concerns of some LPs, it is helpful to balance those concerns against the positives. Subscription lines bring material commercial benefit to LPs and GPs alike.
Fund finance focus: don’t neglect the positives
The use of subscription facilities by funds has seen its criticism, but the practice is not without its positives write Thomas Smith and Almas Daud.
