The Rise of the Single-LP Fund

Single-LP funds — also called funds of one or separately managed accounts — allow one investor to be the sole LP in a dedicated vehicle. This structure has grown dramatically as large allocators seek customization and control.

For allocators with scale, the economics work — management fees of 50-75 bps instead of 150-200. For sponsors, it means committed capital and deep relationships, but lower economics and high-touch management.

Key topics: single-LP funds, separately managed accounts, SMA, funds of one, institutional investors, capital allocation, raising capital, private equity, venture capital, customized mandates, LP investing, fund managers, alternative investments, GP-LP relationships, asset allocation, family office, sovereign wealth funds, fee negotiation.

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