Due Diligence

Fortress conducts an extensive due diligence review, to the level of the most exacting investor, on each client before the fundraise commences.

Areas of particular attention in our due diligence process:

• Study investment strategy and investment approval process
• Evaluate market conditions for the GP's investment strategy
• Analyze and verify track record cash flows and unrealized valuations
• Evaluate performance, future potential, and valuation methodology for unrealized investments
• Evaluate group background, history of personnel departures or hires, and impact on track record attribution
• Personnel background reference checks, both those suggested by GP and independent references
• Assess GP's contribution to investment value creation and portfolio company progress
• Assess group's competitive advantages in sourcing unique or proprietary deal flow
• Identify differentiating characteristics of the firm from competing investment managers
• Identify and address potential obstacles, if any, to a successful fundraise

Both the GP and investors benefit from this approach. The GP's time is used more efficiently during the fundraise, as Fortress is able to address most investor questions and information requests directly. Likewise, investors benefit from access to the extensive due diligence materials prepared by Fortress, conserving the time and resources of the investment officer staff and enabling the institution to expedite its decision-making process. Additionally, our due diligence assists the GP in identifying any potential obstacles that may arise in the course of marketing the fund and in preparing appropriate responses in advance.