Free private markets document template
Strategic Allocation & Implementation Memo Template
Create an LP strategic allocation and implementation memo covering objectives, target ranges, capital-market assumptions, policy mix, liquidity and implementation.
01
Executive summary
The Investment Committee is reviewing the strategic role and long-term target allocation for private markets within the total portfolio.
02
Strategic objectives
Earn a long-term illiquidity premium, diversify public-market risk and access differentiated manager skill.
03
Capital-market assumptions
Private equity and growth equity expected to earn a 300-500 bps premium to public equity net of fees over a full cycle.
04
Total portfolio context
Total portfolio value: $3.8bn
05
Strategic target & range
18%-22% of total portfolio, with 20% strategic target
06
Policy allocation mix
40% buyout, 25% growth/venture, 15% private credit, 10% secondaries and 10% co-investments.
07
Liquidity framework
Maintain five years of stressed net calls in liquid assets and review unfunded commitments quarterly.
08
Implementation plan
Phase commitments over three years, diversify vintage years and use re-ups as the core deployment channel.
09
Key risks
Over-commitment, slow distributions, valuation lag, concentration and manager-selection risk.
10
Recommendation
Adopt a 20% strategic private markets target with the stated range, mix and liquidity guardrails.