Due Diligence and Audits
Our Due Diligence and Audits service is designed to help you mitigate risk and keep pace with rapidly evolving best practice and to ensure the fund is investor ready. We will undertake a full review and assessment of your existing documentation and prepare two different types of reports.
We pride ourselves on our high standards and intimate knowledge of real-world risks and commercial realities, so our documentation audit of your existing agreements can help to enhance governance levels both at the Fund Board level and with the Investment Manager or AIFM. During and audit we will make suggestions for upgrades and identify where stumbling blocks could arise, but balance this against the commercial reality of what the counterparty or prime broker might ask for in return. We then add our findings to the control sheet to enable quick and straightforward comparisons across the different banks, where there are multi counterparties, giving you a single line of sight.
We can also conduct a documentation audit specifically for investor DDQ purposes, and complete the relevant sections of any DDQ outstanding or use our own specially designed one so you have a full set or responses available should you be asked a question by your sponsors or investors
Both of our reviews go further than ensuring your legal health because we can then use them as a basis to educate and train your key people including your Chief Operating Officer, Portfolio Manager, or Board members of the fund. Governance is a very big regulatory concern these days for both the AIFM and Funds so an audit can help to evidence good procedures and controls of legal risks at both the AIF or AIFM/Investment manager. Our clients always find this very useful as they have the opportunity to get complete clarity on the key legal risks and concepts which often allude people.