Ariel Alternatives is a private asset management firm that focuses on private equity investments. They offer investment advisory services to privately offered investment funds for qualified investors. Ariel Alternatives identifies and evaluates investment opportunities, negotiates terms, manages investments, and works towards successful exits. They invest predominantly in non-public companies, but may invest in public companies as well. Senior personnel often serve on the boards of directors of portfolio companies to influence management.
Fee Structure
Ariel Alternatives manages private equity funds and receives a management fee and carried interest. The management fee is 1.5% per year of investor capital commitments until the sixth anniversary of the final closing date. After that, the fee is reduced to 1.5% of invested capital, then to 1.25% after the tenth anniversary, and 1.00% after the fifteenth anniversary. Ariel Alternatives also receives 20% of realized profits, subject to an 8% preferred return. Supplemental fees, such as monitoring fees and director's fees from portfolio companies, may offset the management fees.