25 ILPA Principles 3.0 Cross-Fund Investments GPs should seek to limit the number of overlapping investments between funds; the LPA should stipulate a maximum threshold, either by number of deals or by investment size, and a contribution agreement be- tween related partnerships should conform with any stated parameters. The treatment of carried interest and application of any relevant fee offsets should be consistent to both fund’s investments, even where the funds have differ- ent terms. The annual notes to the financials should disclose information about all overlapping investments, e.g., name of investment, investment size by each fund, expected termination date/number of extensions/ remaining dry powder of each fund, etc. The fees received by the GP from any overlapping po- sitions should be disclosed to LPs, e.g., in the “Affiliat- ed Positions” section of the ILPA Reporting Template. As a general principle, GPs should seek to avoid trans- fers of assets between funds. In cases where the GP seeks to transfer assets from one fund to a successor fund, the GP should provide to LPs evidence of a com- petitive and transparent process for the valuation of said assets and carried interest should be rolled in kind. LPAC approval should be requested for any such transfers, and the LPAC members should be provided with a compelling business rationale for the transaction. FUND GOVERNANCE