Reputation matters Many investors shopping for LP interests will use manager reputation as the guiding input for their search for secondary investments, Welsch- Lehmann says. “People look at LP interests topdown. They look at the name of a fund manager and often apply an arbitrary discount associated with that name without looking at the underlying assets. As a result the pricing is sometimes more of an art than a science,” he says. However, smart investors will select GPs with the skills to improve the value of assets, Suters says. “There needs to be an understanding of the assets but also an understanding of the skill and the contribution that the GP can make to the performance of those assets,” he says. “Not all GPs are equal. There are some duds out there.”