Operational Due Diligence

Course Overview

In this module, we will focus on the operational due diligence process of private capital investment funds.

We will begin by exploring the basic structure and relevant parties associated with investment funds. Then, we will explore the governance of the general partner who is responsible for the management of the fund. We will discuss best practice in terms of the compliance function of a private equity fund. We will address operational aspects such as finance, auditing, and reporting.

Finally, we will consider important administrative functions and controls that ensure the fund’s compliance.

Key Takeaways

• Explain the need for operational due diligence.
• Describe best practices to mitigate operational risks.
• Outline governance, compliance, finance, and other management functions within the fund.
• Determine the criteria for a fund's finance function.
• Identify the operational risks in the investment process.