Emerging Managers Must Prioritize Fund Launch Communications
For emerging managers launching their first fund, working with the right placement agent, legal counsel and fund administration advisors is important to starting off on the right foot. Unfortunately, the role communications plays in a successful launch is too often an afterthought. Crafting the right message and the right strategy are critical to establish credibility with LPs and differentiate the firm in today’s highly competitive fundraising environment.
New managers—rightly—build their positioning on their partners’ past success, but the weight that carries can be overestimated. While there are certainly standout managers, performance between different professionals will tend to look similar. Moreover, firms tend to coalesce around the core qualities all LPs are looking for: risk-adjusted returns, operating expertise, and industry knowledge, to name a few. Even a strong investment thesis may not be enough to secure commitments, when it sounds like everyone else.
A strong communications can help firms rise above the fray in a variety of ways:
Crafting a Clear, Credible Narrative
LPs aren’t just investing in a strategy; they’re investing in the team’s expertise, insights and vision. A compelling narrative helps articulate not just what a fund does, but why they do it.
Consistent Visibility
Being in front of prospective investors on a consistent basis is important, but impossible to do in person for any firm. A diverse and strategic media program encompassing thought leadership, media engagement, and social media content—ensures your news and ideas are connecting with prospects when you aren’t.
Controlling the Story
Fundraising creates noise, and emerging managers don’t always have control over how they’re perceived in the market. A proactive communications strategy helps ensure that your positioning is understood and reinforced.
Final Thought
For emerging managers, fundraising isn’t just about numbers—it’s about building trust and momentum. Those who invest in fund launch communications early can create a stronger foundation for long-term success, ensuring that their story resonates with investors from day one.