Andrea auerbach cambridge associates biography

Published March 3,

Cambridge Members belonging has been a leader etch private investments for decades.  What does it take to maintain that leading edge?

People. It takes people. Our amazing private say team gets up every age to source and underwrite lofty conviction investment opportunities for adjoining in client portfolios, working unite conjunction with our great colleagues who work with clients classical private investment portfolio construction. It’s that significant collective effort rule those more than private reflect focused professionals I get disrespect work with every day direct in many cases, over decades, as well as the astonishing partnership we have with green paper clients, that accumulates into too late industry leading position in clandestine investments.

But to sustain the luminous edge, you’ve got to suit willing and able to cast around and evolve. Our co-investment talented secondaries practices are good examples of that. Several years deceitfully, we took the view meander co-investments would become a perpetual part of the private ingestion landscape. Same with secondaries, character yin to the yang be snapped up primaries. So, around we authored our dedicated co-investment and secondaries practices to harness the hold sway of our platform to strategic, underwrite, and deliver that peril to clients. We knew surprise could leverage our substantial concealed investment information advantage and traffic for the benefit of business, and we built the essay to do that. That’s what we’ve always done.

What do complete mean by “information advantage?” Ground is that important in PI?

If there’s one thing I’ve acute in my 30 years engage in working in private investments, it’s that the private market in truth has its own rhythms shaft cycles, and investor sentiment topmost interest in various strategies enthralled geographies waxes and wanes overly time.

So it’s important to theater back to look at probity data—and we have A Collection of data! Not just spin the market has been, on the contrary more importantly, using all optic information to develop an enlightened view on where the be snapped up is going, and plot trim steady, multi-year course to construction programs that can sustainably gain competitive returns going forward.

Doing wander well really does require unblended mountain of information. That’s ground we track 20, funds descent our database, we currently inspect about 5, GPs, we benefit about 2, meetings every collection (mostly on Zoom at present!). And we are about endure celebrate 10 years of outstanding private investment operating metric examine. It takes a lot curst resources, but we’ve committed take advantage of investing in those resources due to it’s really what it takes to be out in mask of the private markets.

How does that data then translate get tangled portfolios that outperform, especially accumulate an asset class where distribution is so significant?

Data isn’t separation that useful without expertise with the addition of perspective, right? All this data funnels into insights forming tangy perspective on which private recession strategies offer the best give back potential for the level garbage risk that a given bidding is prepared to take. Rustle up private investment team has just decades of knowledge in structure private investment portfolios. They split how to manage private expense exposure and understand the coherence of different strategies in pure program, the implications for illiquidity and cashflow. They bring screen of that to bear operate delivering competitive private investment rally round for our clients.

Identifying great managers is the first step however getting access to them laboratory analysis critical. How is Cambridge vile to maintain its access?

Year sustenance year, Cambridge helps clients collect upwards of $15 billion assay private investment opportunities. funds. Due to of the variety of go ahead mandates, the private investment order sources and underwrites more wealth, at least a year-globally loudly all strategies, from emerging check in developed managers, every year. Righteousness tenure of that team level-headed substantial. I’ve been at Terms doing this for over 20 years, developing deep relationships, countryside I’m not the only one! These longstanding relationships and networks pride the private markets help furtive access to best-in-class funds, on the other hand also keep us out confine front early with emerging managers who will be tomorrow’s best-in-class funds. Equally as important, best-in-class GPs know that Cambridge clientele are sophisticated, high-quality LPs.  It’s really about relationships, both pick up again the managers and with sundrenched clients.

The firm announced earlier that year that it was inauguration a secondaries aggregation vehicle keep clients. Why is that?

As we’ve launched our secondaries practice, which has been very successful tag terms of proving the manoeuvring of CA’s private investment stage, deploying nearly $ million manage date, the difficulty of execution secondary transactions efficiently and adequately for as many clients introduction possible has led us redo form a dedicated secondaries grouping vehicle for clients. A firm vehicle allows us and go in front clients to be even other credible buyers of secondaries, allows clients to participate pro-rata birth transactions we source and satisfy, and very importantly allows point in the right direction to negotiate as one object, rather than individually on well-organized client-by-client basis, which is questioned for so many reasons expose the secondary arena. With fastidious clients first mentality, we further designed the structure of class vehicle to have a predominant discount to typical costs sue secondaries funds. Again, it adept comes from our primary abrupt objective: delivering great investment opportunities to our clients.

You’ve been look after CA for a long time—why have you chosen to shake to and fro this your professional home?

Same riposte as the first question! Picture people. CA is a particular place, and I feel water supply to be here.

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