Investors in Venture Capital and Private Equity Limited Partnerships
Thomas Weisel Global Growth Partners I, L.P. is a $290 million growth-oriented fund of funds. TWGGP I invests in venture capital and growth equity funds that, in turn, invest in the sectors that we believe are likely to deliver high rates of growth, such as software, communications equipment and services, and healthcare. For more information contact Cliff Meijer in Boston.

Objective of a Fund of Funds Investment Program
The objective of TWGGP’s fund of funds program is to provide investors with access to premier venture capital and growth-oriented private equity funds. Investors are typically institutions, corporations, family offices and individuals interested in gaining exposure to top performing venture funds. Our fund of funds provides diversification across sectors of the economy, vintage years, investment strategies, stages and geography. The fund selection process and access is managed by a five person team of investing professionals with strong ties to the venture capital community.

Proven Access to Top Managers
TWGGP I invests primarily in funds that are sponsored by established firms who have demonstrated an ability to generate high rates of returns in a variety of economic cycles. TWGGP believes that identifying and investing with top quartile managers is critical to the success of a private equity program. Unlike other asset classes where the returns of professional managers cluster closely around the median return for all managers, private equity returns have historically shown great variability. The top venture capital firms’ performance and organizational stability have created brand equity in the private equity market. Their size is limited, and given the current environment for venture capital investing, many funds have scaled down in size creating a supply/demand imbalance, as a greater number of potential limited partners with increasing amounts of capital are vying for fewer and smaller pieces of the venture capital pie. For these reasons, access to top funds, which TWGGP provides, is critical to a successful program.

Experienced Investment Team
TWGGP has an experienced portfolio management team. Cliff Meijer has over 10 years of private equity experience. The team is comprised of four investment professionals all with private equity and/or investment banking experience.

Dedicated Pool of Capital for Secondaries
Thomas Weisel Global Growth Partners II, L.P. is a $130 million dedicated secondary fund focused on purchasing growth-oriented venture capital limited partnership interests and portfolios of direct investments in venture backed companies. As with TWP’s other private equity initiatives, TWGGP II invests in the growth sectors of the economy, including technology, communications, healthcare, media, consumer, industrial and business services. For more information contact Cliff Meijer in Boston.

Seller Motivations
The secondary market dates back to the global economic crisis of the late 1980s and early 1990s, when many banks and corporations began selling illiquid assets, including interests in private equity funds. Today, there are many reasons why portfolio managers of financial institutions, corporate venture programs, and high net worth investors might find themselves under or overexposed to particular vintage years, funds, sectors, strategies, general partners, and geographies within their private equity portfolio in both asset value and uncalled commitment. Selling private equity interests on a secondary basis represents an efficient and flexible method to re-adjust allocations, and in some cases exit an asset class entirely. Additionally, secondary sales free up capacity and capital to take advantage of other upcoming opportunities.

In difficult market conditions, the sale or IPO of portfolio companies will often be delayed, resulting in distributions to limited partners occurring more slowly than anticipated. Through secondary sales, an investor can still generate liquidity and cash if so desired. In addition, an investor might already feel satisfied with the returns realized thus far and prefer to lock in returns today instead of holding the interests until maturity. With this knowledge, many investors turn to the secondary market seeking alternative means to maximize their private equity interests.

Preferred Partner
TWGGP is viewed as a preferred purchaser of growth-oriented limited partnership interests and portfolios of direct investments due to its ability to continue the stewardship of these holdings by leveraging TWP’s resources, including corporate finance, advisory services and equity research, to support these high-growth companies. Additionally, TWGGP has investments with over 50 venture capital funds and has an extensive network of general partners in the venture capital and growth equity domain. TWGGP conducts transactions quickly and discreetly, and is amenable to the seller’s needs.

Creative Transaction Structures
TWGGP is creative in structuring secondary transactions in order to meet the seller’s objectives. TWGGP will consider fully funded limited partnership interests, largely unfunded commitments, single assets, multiple assets, portfolios of direct investments, and economic interests to name a few. Transactions range from outright cash purchases to joint-ventures where the seller retains a portion of the upside generated by the investments. In select cases, TWGGP will consider hiring the existing portfolio management team to continue to manage the portfolio.

Experienced Secondaries Team
TWGGP has an experienced portfolio management team. Cliff Meijer has over 10 years of private equity experience. The team includes three additional investment professionals with secondary investing and investment banking experience. The team has completed over 30 purchases representing over $800 million in transaction value.

Investors in Venture Capital and Private Equity Limited Partnerships
Thomas Weisel Global Growth Partners currently has $175 million in separately managed accounts for select clientele. These growth oriented fund of fund vehicles invest in exclusive US venture capital funds. For more information contact Cliff Meijer in Boston.

Objective of a Separately Managed Account
The objective of TWGGP’s Separately Managed Account Program is to provide a customized solution for select clients seeking access and diversification into venture capital and growth-oriented private equity funds. Investors are typically institutions, corporations and family offices allocating large sums (greater than $75 million) to alternative assets. Like a commingled fund of funds, a separately managed account provides diversification across sectors of the economy, vintage years, investment strategies, stages and geographies of companies. TWGGP provides clients with thoughtfully crafted portfolios emphasizing access to top performing general partners, within the specific mandate of each account.

Program Highlights
A Separate Account consists of a focused investment program providing access to 10-15 US venture funds, allowing a closer relationship between client and underlying fund managers and greater information flow from the underlying portfolio of fund investments, if desired. The accounts are fully customizable in size, scope and structure, and have the option of being a co-branded vehicle. Managed accounts provide consolidated reporting, cash-on-cash service, and can be structured to allow for a complementary overlay on top of existing consultant-institution relationships. All investments are made pro-rata between separate account vehicles.

Proven Access to Top Managers
As with TWGGP I, the Managed Account Programs invest primarily in funds that are sponsored by established firms that have demonstrated an ability to generate high rates of returns in a variety of economic cycles. TWGGP believes that identifying and investing with top quartile managers is critical to the success of a private equity program. Unlike other asset classes where the returns of professional managers cluster closely around the median return for all managers, private equity returns have historically shown great variability. The top venture capital firms’ performance and organizational stability have created brand equity in the private equity market. Their size is limited, and given the current environment for venture capital investing, many funds have scaled down in size creating a supply/demand imbalance, as a greater number of potential limited partners with increasing amounts of capital are vying for fewer and smaller pieces of the venture capital pie. For these reasons, access to top funds, which TWGGP provides, is critical to a successful program.

Experienced Investment Team
TWGGP has an experienced portfolio management team. Cliff Meijer has over 10 years of private equity experience. The team is comprised of four investment professionals all with private equity and/or investment banking experience.