15 DEVELOPED FOR LIMITED PARTNERS BY LIMITED PARTNERS I KEY LEARNING OUTCOMES The following are examples of the use of observable behaviors that will be explored and discussed in-depth.After completing this course you will be able to: • Define the most probable situations that lead to team discord at the manager level and how these may be effectively addressed in the governing documents of a partnership with and/or among the manager/general partner and limited partner and its advisor(s). Describe how the ownership of the management company, general partner interest and/or revenue share agreements may be used or monetized, and how this may affect stakeholders. • Describe alignment of interest issues and concerns vis-à-vis fund ownership models. • Identify and examine the implications of differential treatment of limited partners in the same partnership including those that serve as LPAC members, strategic partners or members of the management company and their responsibility to each other and the management company. • Differentiate methods of communication and evaluate those that could be considered best practices. • Describe how limited partners may uncover potential dysfunction within a management team. • Describe how limited partners may uncover the potential for team, manager, client or limited MODULE 4 partner-related conflicts of interest and best methods to address such conflicts. • Describe the considerations and challenges around the audit scope and how audited financial statements of private equity fund investments can be leveraged to analyze the risks associated with the fund and identify red flags. • Explain the basic ways general partners can mislead deliberately or unintentionally in their PE accounting and reporting of their fees and expenses. COURSE OUTLINE PE ACCOUNTING AND INVESTOR REPORTING BEST PRACTICES MINI CASE STUDY SCENARIOS SERIAL CASE: WHEN GOVERNANCE AND OVERSIGHT GO WRONG: AN ACTUAL REAL LIFE CASE HISTORY • GP/LP Relationships • Fund Structure • LP/LP Relationships and the LPAC • GP/LP Interaction Post-investment • GP/LP Reports and Comments • How to Spot Problem Children • Conflicts of Interest