Legal and Compliance Roles in Adapting PE Investment Strategies Amid Market Disruptions

When it began a year ago, the pandemic completely altered the PE industry’s perception of the strength of businesses and industries. Special situations, distressed debt and communications software became hot sectors, while others (e.g., consumer, restaurants, etc.) languished. As PE investment professionals rushed to take advantage of unforeseen opportunities outside their funds’ investment mandates, GCs and CCOs were asked to pave the way for those new investments. Whether by modifying existing funds’ investment strategies or rapidly launching new funds, legal counsel and compliance officers were forced to react nimbly, navigate unforeseen issues and advise investment committees on how best to proceed. That experience provided valuable lessons for when GCs and CCOs confront the next major market disruption, while also revealing certain prophylactic measures that can be taken to allow adaptability in the future. Those lessons were discussed in a webinar on March 3, 2021, co‑hosted by the Private Equity Law Report (PELR) and LexisNexis. The program was moderated by Rorie A. Norton, Editor of the PELR, and will feature Skadden partner John M. Caccia and Morgan Lewis partner Christopher  J. Dlutowski.

Examining the Varied Uses and Overall Adoption Trends of Preferred Equity by PE Sponsors

The Private Equity Law Report hosted a webinar exploring the rising adoption of preferred equity in the PE industry and several contexts where it is used. The webinar, entitled “The Growth of Preferred Equity As a Liquidity Solution in Three Contexts,” was moderated by Rorie A. Norton, Editor of the Private Equity Law Report, and featured Simpson Thacher partner Peter H. Gilman and Proskauer Rose partner Michael R. Suppappola. To listen to a recording of the webinar, click here.

Legal and Compliance Employment Trends in 2020: Staffing, Recruitment, Compensation and Diversity

What is the right size for a fund manager’s legal and compliance department? How has the market for in-house legal and compliance support compensation changed in recent years? What are best practices fund managers can use to address diversity issues in the current climate? How has the coronavirus pandemic affected – and, in some cases, helped – the above? These questions are only a few of the ones tackled during a webinar cohosted by the Hedge Fund Law Report (HFLR) and its sister product, the Private Equity Law Report (PELR). The program was moderated by William V. de Cordova, Editor-in-Chief of the HFLR and PELR, and featured Jennifer J. Pearson, head of human resources and employment counsel at Deerfield Management; David Claypoole, president and founder of Claypoole Executive Search; and Julie Siegel, executive managing director, chief administrative officer and deputy chief legal officer at Sculptor Capital. 

The Evolution and Future of GP‑Led Restructurings

To help keep PE sponsors and institutional investors apprised of the latest developments in GP‑led restructurings, the Private Equity Law Report hosted a webinar, entitled “The Evolution and Future of GP‑Led Restructurings.” In addition to charting the rapid growth and adoption of GP‑led restructurings in recent years, the program provided a comprehensive exploration and update of various developments with those transactions. Moderated by Rorie A. Norton, Editor of the Private Equity Law Report, the webinar featured Davis Polk partner Leor Landa and Kirkland & Ellis partner Ted Cardos.

Current Issues and Trends in Impact Investing

This webinar discussed how although prospect of generating alpha while making a positive social impact has catalyzed many investors and private equity (PE) sponsors to pursue impact investing strategies, most are finding that this area is far more nuanced and challenging than anticipated. Moderated by Rorie A. Norton, Editor of the Private Equity Law Report, the webinar featured Ellen Kaye Fleishhacker, partner and co-head of the investment management practice at Arnold & Porter; Raúl Pomares, founder and managing director of Sonen Capital LLC; and Christine Looney, deputy director of the mission investments team at the Ford Foundation. The discussion provided a comprehensive discussion and update on a number of impact investing-related issues.

Pros, Cons and Trends in the Use of Subscription Credit Facilities

In addition to discussing key considerations and prevailing trends in the use of subscription credit facilities by private fund managers, this fireside chat touched on a range of topics related to subscription credit facilities, including the appeal of these facilities; ways they are used by managers; methods for addressing investor and SEC scrutiny of these facilities; trends in structuring and negotiating these facilities; their recent adoption by other private fund vehicles (e.g., hedge funds and direct lending funds); and an overview of other types of facilities commonly used by private funds (e.g., portfolio liquidity facilities and management company facilities). The webinar was moderated by Rorie Norton of the Hedge Fund Law Report and featured Thomas Draper, partner at Foley Hoag, and Michael Mascia, partner at Cadwalader.

How Fund Managers Should Respond to Recent Trends & Developments in Employment Law

​Robin L. Barton, Senior Reporter at The Hedge Fund Law Report, hosted a one-on-one discussion with Richard J. Rabin, partner at Akin Gump and head of the New York office’s labor and employment group. In addition to discussing current trends and developments in employment law, the program tackled various pressing employment topics, such as sexual harassment in the workplace, including the #MeToo movement and associated legislation; pay equity and related lawsuits in the private funds industry; developments in arbitration and what they mean for fund managers; the Trump NLRB and its implications for the private funds industry; bans on requesting salary history information; and family-, sick- and safe-leave requirements. CLE credit is available in NY, NJ, CA and TX.

How Advisers Can Avoid Common Deficiencies Under the Advertising Rule

In this webinar, panelists discussed how advisers can avoid common deficiencies in their marketing materials and advertising practices under Rule 206(4)-1 of the Investment Advisers Act of 1940, commonly referred to as the “Advertising Rule.” This presentation offered a detailed review of the advertising deficiencies identified in the September 2017 Risk Alert issued by the SEC’s Office of Compliance Inspections and Examinations, discussed how advisers can avoid these sorts of deficiencies in their own marketing materials and built on the topics discussed in our three-part advertising compliance series: “Ten Best Practices for a Fund Manager to Streamline Its Compliance Review” (Sep. 14, 2017); “Five High-Risk Areas for a Fund Manager to Focus on When Reviewing Marketing Materials” (Sep. 21, 2017); and “Six Methods for a Fund Manager to Test Its Advertising Review Procedures” (Sep. 28, 2017). The webinar was moderated by Kara Bingham, Senior Editor of the Hedge Fund Law Report, and featured Christine M. Lombardo, partner at Morgan Lewis; Richard F. Kerr, partner at K&L Gates; and Todd Kaplan, founder and principal of Cloudbreak Compliance Group.