Auction Funds

add liquidity to traditional investment structures

This Solution Helps

  • Asset Managers
  • Financial Advisors
  • Banks
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Auction Funds fundamentally change how Financial Advisors (FAs) advise High Net Worth Investor (HNWI) on private investments and allow Institutional Investors to allocate capital to private markets with the opportunity to rebalance portfolios.

NPM Auction Funds Chart

 

The auction fund structure elevates the interval fund while retaining its benefits, including:
 

  • Lower minimums

  • Zero capital calls

  • Tax RICs with 1099's

The SEC granted Nasdaq exemptive relief in 2017, allowing for the
first-ever
fund structure that is continuously available through monthly, auction-based transactions
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Liquidity for Alternative Asset Managers
Nasdaq Private Market supports asset managers and their funds by providing liquidity infrastructure and solutions.
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The SEC granted Nasdaq exemptive relief in 2017, allowing for the
first-ever
fund structure that is continuously available through monthly, auction-based transactions

The Benefits of Auction Funds

Achieve Private Equity Allocations

No wirehouse is close to achieving model portfolio AI allocations even though private equity (PE) is the bigget unmet desire of HNWIs.

*Source: 2018 U.S. Trust Insights on Wealth & Worth, June 2

Address Structural Problems

Auction Funds are not just for accredited investors, but for qualified purchasers who can buy traditional feeder funds, eliminating issues that affluent investors & their gatekeepers experience with existing AIs.

The Key to New Capital Flow

Auction Funds may significantly increase private equity allocations and create a strong argument to financial advisors seeking a new investment vehicle - a fundamentally better answer to the unmet desires of HNWIs.

How It Works

Auction Funds address the challenges that private market investors face with current fund structures by providing an exclusive marketplace with periodic auctions that satisfy the demand for alternative investments with more frequent liquidity.

  • Onboarding and Setup

    Specific auction language will be provided to insert into fund documents, and onboarding investors, buyers, and funds is simple.

  • Auction Period

    Auctions occur periodically and can be customized to meet a fund sponsor's criteria.

  • Pricing and Process

    Our algorithmically-managed auction process determines one clearing price for all buyers and sellers - regardless of order size.

  • Closing & Settlement

    Our dedicated operations team manages the integrated payment workflow and closing documentation through our own paying agent.

Learn more about our auction fund solutions

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