Summary
The purpose of the Pool is to build a diversified portfolio of global investments in private equity, i.e. equity investments in non-listed companies. The purposes of the Pool are to acquire and manage globally diversified interests in private equity Primary Investments, amongst which also Co-Investments, Secondary Investments and Mezzanine Investments, which focus on, but are not limited to, buyouts, growth equity and venture capital.
The performance objective is a minimum 10% absolute net IRR (internal rate of return) measured over a long-time investment horizon (10-year basis) before the deduction of the Management Fee.
The long-term objective is to outperform the Public Benchmark in IRR and PME+ (Public Market Equivalent plus) terms. The intent is to measure performance over longer terms at 5 years, 10 years and Since Inception (SI).
Furthermore, an expected outperformance (alpha target) of 200-400 bps above the MSCI All Country World Investable Market Index (currency adjusted).
Over the term of the Pool the ex-post average total annual Management Fee and external fund managers private equity management fees and other private equity-related costs (i.e. Total Cost of Ownership excluding performance fees) should compare favorably (lowest 25th percentile) versus its global institutional peers with comparable investment programs.