Pavilion Alternatives Group offers customized risk management with an emphasis on emerging risks, such as strategy drift, exposure to specific companies or sectors, and under performance, that act as a proactive warning system.
Our approach to risk management combines a quantitative focus on exposures across a number of parameters, and a pro-active, hands-on approach to monitoring client commitments at both the fund manager and portfolio company level. Investment and Risk Management professionals are in regular contact with fund managers to obtain relevant information, including portfolio company performance, new investments, exit outlook and team dynamics.
Our Investment Team monitors the activity of all funds and fund managers on an on-going basis, meeting with them at least once a year, with further communication by telephone and email. This ensures that any issues are identified and dealt with at an early stage. The Investment Team is supported by our Risk Management Team, which ranks each fund’s return performance against expectations on a quarterly basis and provides its findings to the Investment Team. The Investment Team uses all the information collected to continually assess the risk of the portfolio, with a formal risk analysis on the findings provided to clients annually.