Strategy and Process
- Clarity and viability of investment principles and strategy
- Consistency of the investment process
- Transparency
Competitive Advantage
- Differentiated interpretation of information and data
- Quality of investment models, intellectual rigor, and creative thought
- Disciplined execution of investment strategy
Organization
- Commitment to product
- Thoughtful management of firm assets
- Alignment of firm ownership, economics, and succession plan with clients’ interests
Personnel
- Individual skills and experience
- Sufficient resources (i.e., human, technological, and financial)
- Experience, talent, chemistry, and stability of the team
Performance
- Performance relative to expectations
- Consistency of performance relative to expectations
- Historical return relative to risks taken
Risk Controls
- Degree to which risks are understood, measured, and transparent
- Risk oversight
- Strength of compliance culture and procedures
- Quality of operations and controls for the strategy
Terms and Fees
- Fees competitive with peer group
- Reasonable investment minimums and liquidity provisions
- Availability of commingled funds