LP Roundtable: Self-Lending Funds, Capital Calls, Securitization, and Fund Risk

Episode #293

This Episode

Would you invest in an income fund created primarily to lend money back to its own sponsor? Chris Lopez, Adam Cranmer, Pascal Wagner, and Christy Burakovsky examine the conflicts, hidden risks, and missing checks and balances that LPs should consider before investing on both sides of the same operation.

The panel also shares real portfolio updates involving capital calls, securitization, debt funds, and multifamily distributions. Plus, they discuss whether monthly payouts should influence an investment decision, how much confidence audited financials should provide, and why several panelists continue converting retirement funds to Roth accounts.

Key takeaways:

• The risks of investing in a fund that lends to its own sponsor

• Why third-party lenders can provide valuable oversight

• How to distinguish a planned capital call from a troubled one

• Whether monthly distributions are worth prioritizing over quarterly payouts

• Why audited financials are only one piece of fund due diligence

• How the panel approaches Roth conversions and future tax uncertainty

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