EFTA01386639

GLDUS238 SOUTHERN FINANCIAL LLC Section 4. Glendower Capital Secondary Opportunities Fund IV. LP Glendower Capital Secondary Opportunities Fund IV. LP million, make it a potential buyer of choice in these transactions. Maturity of fund interests The mid-sized fund segment of the market is further differentiated through the maturity of fund interests targeted. Some strategies target interests in immature buyout funds which are between 15% and 50% drawn down. These strategies do a primary style analysis of the blind pool portion of the portfolio - focusing on the capability of the Fund Sponsor to invest the remaining commitments well, alongside a secondary pricing analysis of the existing assets. Complementary to this. some secondaries funds target interests in Fund Sponsors that are considered by their primary fund investment businesses to be of high quality on the basis that these interests, even if bought at close to par value, represent a compelling purchase. In contrast to these approaches, the Fund will focus only on mature fund interests (at least 50% drawn, typically over 80% drawn). This approach provides the Manager with visibility on the underlying assets and reduces reliance on the Fund Sponsor to select strong investment opportunities (reduces 'blind pool risk'). Investment Process Overview The Glendower SOF Team has developed a robust and selective investment process to support its focused and disciplined investment strategy. Exhibit 20: Secondaries Investment Process Deal PI Igination and sourcing Toe (Min identdcation et attract?. assets Focus on key Seller *nice% Preeceve eating eons Leong olds potential beats onto name Screening and due damer , Weekly °now cA Ptehne Stelling and Poontoration CetarleCI LOttCen- u2 doe dIrconce Transit tan rajah:Mon and Shuttering irp,estment decision closing Apretyal by Investment Committee Final neadlialaCen • Swinge( transited:in • GP consent other closing condemns FX Inadian9 Cooing Frbnitonfo and risk mom* Rexers or realssabons and uPla:0s on pertonnarce at weakly nVoling Inwstrcent realizaticn - Revew ceshrlows from uncOlong funds GOD ng exelcaton Cd Sale &alume and otopolunthes execute realisatrons hew* Funnel coadorly he hoe CISCIetiCei location and pOdirrainte riNew ValuabOn Model PSA and Valuation memo IC memo 8 Popolew IC memo suteencton documents Cuarterly revery Sale documents Deal origination and sourcing The Glendower SOF Team will seek to purchase funds in exclusive or minimally competitive negotiated transactions through its own extensive network of industry relationships. which includes financial sponsors. Fund Sponsors, portfolio companies, intermediaries/placement agents, and investment banks. The Glendower SOF Team will seek to proactively identify private equity funds through a combination of top-down and bottom-up analysis. Top-down identification of assets: an extensive private equity database listing certain funds is maintained with recent Confidential Private Placement Memorandum 26 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0088414 CONFIDENTIAL SDNY GM_00234598 EFTA01386639