Atkin at Cbus says that if a really great opportunity arose that needed turnaround in a couple of weeks, it could be done, but that is not the norm. “There’s a lot of work required to do due diligence,” he says. “And we don’t want to be reacting all the time.” Robin Burns, chief executive at the $4.2 billion industry fund equipsuper, says his fund can move if it sees an opportunity that needs to be enacted quickly, but the need to circumvent regular board process for an opportunity outside policy is not something that has arisen in the past few years. “I wouldn’t be concerned that we miss opportunities because of a lack of speed,” Burns says. “Moving in such a short time is not something you need to do often, if ever. If your asset consultant is doing their job, you should be aware of opportunities with enough time to conduct the proper due diligence.”

Michael Seton, chief executive at the $3 billion fund Agest, adds that funds should question why a manger is closing so quickly. “Are they trying to hurry something through?” he asks. “Perhaps the manager has been slow in its administration. You need to make sure you have enough information and don’t rush in.”

With an internal team you can make decisions quickly, Seton says. “But investment opportunities that crop up suddenly and close just as fast don’t really happen that often.”

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