Are All CVs Created Equal?
In the ever-evolving landscape of private equity, Continuation Vehicles have emerged as a critical tool for General Partners and Limited Partners. GPs use CVs to create liquidity for their investors and provide LPs an option to extend their investment in assets expected to generate attractive risk-adjusted returns. LPs have increasingly used CVs to lock in strong realized IRRs, improve DPI and rebalance their portfolios (either as sellers or as buyers, to adjust exposure to sectors, geographies, strategies, or core managers).
