Daniel Benin is managing partner and co-founder of Committed Advisors, a manager of private equity secondary funds with €1.7 billion in assets. He explains why Palico’s digital marketplace adds value to traditional ways of doing business in private equity.
|What are the advantages of Palico’s digital platform for GPs?|
DB: Speed, efficiency and low cost are what comes to mind. Palico’s digital marketplace particularly shines when it comes to broadening the network of potential sellers or investors.
|How does Palico alter the traditional way of doing business?|
DB: Palico streamlines the old way of doing business, ie. rolling up your sleeves, picking up the phone and then - hopefully - winding up with a string of face-to-face meetings. Some of those meetings will prove promising, but most definitely won’t. Digital marketplaces can make the process less time consuming, more targeted and more rewarding.
|What competitive pressures at play today make a digital platform particularly useful?|
DB: The range of potential private equity investors is growing and is more spread out than ever before. By bringing PE investment to desktops and smartphones, digital marketplaces can bridge the gaps between managers and counterparties. Consider, for example, the significant number of pension funds in Latin America showing new interest in private equity investing. The respective home bases of those investors and GPs are sometimes thousands of miles apart, yet Palico could offer the promise of a quick and efficient means of mutual discovery. Before GPs fly thousands of miles, they could better identify and evaluate the investors likely to be most receptive to their offering by using digital marketplaces.
|As Change Accelerates, LPs and GPs Close Deals on Palico|
When disruptive technology builds a solid foothold in an industry, change accelerates. Today, Palico’s digital marketplace for private equity fundraising, secondaries and co-investment unites over 3,000 limited partners from 1,900 firms with over 5,000 GPs, offering investment vehicles in everything from venture capital to buyouts to litigation finance. Using Palico, LPs and GPs from across the world are evaluating private equity opportunities on a daily basis and closing deals with each other weekly, more cheaply and efficiently than ever before.