Falcon Investment Advisors manages investments for private investment funds, focusing on private credit and structured equity in the lower middle market. Falcon identifies and evaluates investment opportunities, negotiates terms, manages investments, and sells them. Falcon's private credit portfolio aims for current income and long-term capital appreciation through junior capital investments. The structured equity portfolio seeks returns through non-control structured equity investments. Falcon tailors its services to each fund's investment objectives.
Fee Structure
Falcon Investment Advisors manages investments for private investment funds. Falcon and/or its affiliates generally receive management fees and performance-based compensation. The management fees vary depending on the fund.
- Falcon Strategic Partners III, LP does not pay a management fee.
- Falcon Strategic Partners IV, LP pays 0.9% annually of the lesser of the cost basis and carrying value of investments for a specific period, then no fee for another period.
- Falcon Strategic Partners V, LP pays 1.5% annually of aggregate investor capital commitments, which reduces to 1.5% of the lesser of cost basis and carrying value after a specified date.
- Falcon Private Credit Opportunities VI, LP, VII (Luxembourg), S.C.Sp, and VII, LP pay 1.5% annually of the lesser of the cost basis and carrying value of investments.
- Falcon Structured Equity Partners, LP pays 1.75% annually of commitments, reducing to 1.75% of the lesser of cost basis and carrying value after a specified date.
Management fees are generally calculated and paid quarterly in advance. Investors should review the fund's governing documents for complete details on fees, compensation, and expenses.