The holding period for investments in our funds ranges between 3 to 5 years.

This time frame allows us to strategically develop and optimize the value of the assets, ensuring that they reach their full potential before we execute an exit strategy.

Our fee and expense structure is transparent and designed to prioritize both the growth of our investors' capital and the effective functioning of our funds. 

Here's a breakdown:

Preferred Returns: Limited Partners are entitled to an annual non-compounded preferential return of 10%, calculated on their contributed capital, before any distributions to the General Partner. This return is computed and payable annually.

Catch-Up Provision: Once the Preferred Return has been distributed, a catch-up provision comes into effect for the benefit of the General Partner. 

This continues until the General Partner has received an amount equal to 3% of the total profits of the fund, in addition to its share of the Preferred Return. During this phase, all of the fund's profits (100%) go to the General Partner.

Carried Interest: After the distribution of the Preferred Return and completion of the Catch-Up Provision, 30% of the remaining distributable profits is taken as Carried Interest by the General Partner. The rest, 70%, is shared among the Limited Partners.

Operational Expenditures: Each Limited Partner approves an annual spending cap of USD 100,000 for reasonable business-related expenses. 

This ensures the fund operates efficiently and benefits all partners. Every quarter, Limited Partners receive a detailed breakdown of these operational costs.

Reasonable Business Expenses Defined: This encompasses:

a. Legal and Audit Expenses: Fees for legal counsel, auditors, and tax advisors.

b. Administrative Expenses: Office administration costs, salaries for non-investment staff, and essential technology infrastructure.

c. Regulatory Expenses: Costs related to compliance with regulatory bodies.

d. Due Diligence Expenses: Costs for the due diligence process on potential investments.

e. Investor Relations and Communications: Costs related to investor communication and meetings.

We recommend that all our investors refer to the complete FG Capital Advisors Fund agreement and consult their legal and financial advisors before making investment decisions.

Investors join our funds as Limited Partners (LPs), contributing capital to the fund. If necessary, the fund can structure entities to carry out investments and other relevant mergers and acquisitions transactions, providing flexibility in investment execution.

Our exit strategies vary depending on market conditions and the specific asset. 

Potential exit options include selling our stake to strategic buyers, such as major mining companies, or through financial buyers, such as other private equity firms or institutional investors. 

We may also consider an initial public offering (IPO) or a merger with another company as potential exit options.

We utilize a combination of in-house research, industry networks, and partnerships to identify promising investment opportunities. 

Each potential investment undergoes rigorous due diligence, encompassing legal, financial, and technical assessments to ensure its alignment with our investment criteria and value creation strategy.