RCP
believes that the best opportunity to achieve outsized returns
is in private equity managers focused on the U.S.
Small-to-Middle Market Buyout sector. These managers tend to be
more motivated and have incentives that are more in line with
both their management teams and their investors. In addition,
these smaller funds focus on a larger pool of investment
opportunities that have historically been less competitive and
intermediated. These smaller companies typically are established
organizations with existing customers and a constant source of
revenue. These companies present an opportunity to generate
attractive returns through growth (both organically and through add-on
acquisitions), improving the business operationally, and through
financial expertise.
