PCM has had a secondary market element in its products since inception and has offered dedicated secondary funds since 2002. PCM’s strategy leverages its experience in private equity fund and direct investing as well as the broader network of the Permal Group.

Differentiated sourcing strategies: PCM’s sourcing strategy builds on the team’s network in the private equity community and leverages the Permal Group’s global network; this sourcing network has led to a robust and diverse deal flow.

Focus on smaller interests: PCM believes that owners of smaller interests are less likely to seek to create an auction process for the sale of their positions and are more likely to value confidentiality in the execution of a secondary.

Focus on single interests, small portfolios: Similarly, PCM focuses on single interests and small portfolios which are less likely to attract the attention of larger buyers or the intermediaries that create auction processes.

Pursue negotiated transactions: PCM conducts a significant majority of its deals through negotiated transactions, which it believes lead to a more rational process, allowing buyers to conduct thorough due diligence, creating the time and deal environment to foster creative solutions.

Purchase from wide variety of sellers: PCM prides itself on having purchased secondaries from a wide variety of sellers, including corporations, endowments, financial institutions, asset management firms, family offices, and high net worth individuals among others. This variety gives PCM the experience to recognize the needs and priorities of many sellers as well as the diversity to ensure a steady and robust flow of deals across many economic conditions.

Mitigate risk through diversification: PCM seeks to create portfolios through its secondary transactions that are diversified across many dimensions, including strategy, industry, company stage, and fund size. PCM believes such diversification lowers the risk in the portfolio and enhances the risk / return profile of the products.