Fund structures

2 · Think of it like thisImagine several small water tanks supplying water to one large central tank. The small tanks collect water locally, and the central tank is where it is pooled. Feeder funds work the same way: each collects investor money and channels it into one master fund, which makes the investments.

2 · Think of it like thisThink of two trains on parallel tracks stopping at the same stations. Each train is separate, but they travel the same route. Parallel funds are separate funds, often for different investor groups, that invest side by side in the same deals in agreed proportions.

2 · Think of it like thisThink of a friend who joins you in buying a bigger share of the same flat. The fund buys its share, and some of its investors buy an extra slice of the same deal directly or through a separate vehicle. That extra slice is the co-investment.

2 · Think of it like thisThink of a separate box made to hold just one item, so it does not get mixed with anything else. An SPV is a company or entity created to hold one asset, project or deal, keeping it ring-fenced from everything else.

2 · Think of it like thisThink of a parent company that owns several shops, each run as a separate business. A holding company owns shares in other companies and controls or supports them. It usually runs a group, rather than pooling outside investors' money under a fund policy.

2 · Think of it like thisThink of one building with several separate flats. The building has one address and one society, but each flat has its own owners and its own bills. An umbrella fund is one legal vehicle with several sub-funds, each with its own investors and assets.

2 · Think of it like thisThink of a college that offers several courses. The college is one, but each course has its own students, fees and timetable. A fund or FME can run several schemes, each with its own investors, strategy and money.

2 · Think of it like thisThink of a tailor-made suit instead of one off the rack. A fund-of-one is a fund built for a single investor, with terms agreed for that investor alone.

2 · Think of it like thisLike inviting a few dinner guests to share a second dish you already ordered, at the same price and on the same terms.