Deck 1 – Features, Methods & Structures

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Question

How does committed capital differ from contributed capital in a private fund?

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Answer

Committed capital is promised upfront; contributed capital is funded via capital calls.

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Question

How do the roles of the GP and LP differ in a hedge fund limited partnership?

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Answer

The GP manages the fund; LPs provide capital with limited liability.

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Question

Why are commodities considered a direct inflation hedge?

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Answer

Commodity prices directly affect inflation indexes.

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Question

What feature makes timberland operationally flexible when lumber prices are low?

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Answer

Trees can be stored on the stump until prices improve.

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