The investment teams for each asset are responsible for carrying out and coordinating these three activities and integrating them into our investment philosophy, since the relationship developed in the primary market with fund managers is vital to the origination and execution of transactions in secondary markets and co-investment activities.
Investment in the secondary market by buying or selling a position and commitment of an investor in an existing fund is an excellent complementary investment strategy. If implemented properly, there are a great many benefits: faster portfolio construction and higher visibility, greater exposure to the asset, mitigation of the J-Curve effect and reduction of average investment periods, and improvement of the return/risk profile.
Our investment activity in secondary markets is based on the origination of proprietary transactions which are smaller, more complex, more difficult to evaluate, and less competed for transactions where we can avoid auction processes and leverage our resources, relations and execution capability in terms of speed and complexity. In this respect our extensive network of relationships and the trust developed with fund managers is fundamental to this activity.
Meanwhile, direct co-investments in companies, usually hand in hand with a fund manager and accompanied by other investors, is also an excellent complementary investment strategy. The aim of this type of investment tends to be to obtain higher returns with a lower level of fees and a greater control over the investment. Our focus, as in the case of investment in secondaries, has normally been to leverage our network of relationships with fund managers in primary markets, with whom it is essential to have an excellent alignment of interests.
The Altamar Group has a proven experience in this market, in which it has been carrying out transactions in a complementary manner to its investment strategy in the primary market, through all of its investment vehicles, and in particular and exclusively through its funds: Altamar Secondary Opportunities IV, Altamar Secondary Opportunities VII, and Altamar Global Secondaries IX.
The Group has consistently demonstrated its origination capabilities and ability to access investment opportunities throughout very different cycles. It is capable of generating some very attractive returns for its investors from all its funds.