Investment Manager Selection & Due Diligence Processes

Central Park Group strives to identify leading asset management talent in the area of alternative investments. Candidates are initially sourced through our proprietary database, strategic partners, long-standing relationships and referrals from managers, service providers, trading desks and other sources.

Central Park Group attempts to identify managers who have demonstrated an "investment edge." A manager's competitive advantage or "edge", is typically driven by fundamental proprietary research, qualitative and quantitative analysis of companies, relentless focus and hard work. The Firm seeks to avoid managers who depend exclusively on external research or those who employ "black box" strategies, momentum investing, or who rely on excessive leverage or complex derivatives.

The Firm's due diligence process is rigorous and systematic. Due diligence is viewed as a mosaic where qualitative and quantitative information is assembled and analyzed. Issues such as manager reputation, integrity, personal commitment and potential conflicts of interest are assessed. How a manager's firm is organized, staffed and compensated are critically important factors in our assessment. We are mindful of the manager's investment as well as organizational skills. Our processes may include:

"Direct" Research • Offering materials • Financial statements • Tax filings • Client correspondence • Performance attribution • Portfolio holdings • Investment team • Operational capabilities

"Indirect" Research • Background checks • Reference checks • Regulatory history • Public filings • Current/past investors • Asset confirmation • Industry contacts

Ongoing Due Diligence and Monitoring • Bi-monthly performance verification • Monthly conference calls • Quarterly written updates • Semi-annual manager meetings