Our Solution
We purchase or assume management of legacy fund assets for a nominal amount (often $1), and form a dedicated SPV (Special Purpose Vehicle) to manage monetization. Tapestry takes over:
- All legal, operational, and governance responsibility
- Ongoing valuation and investor reporting
- Asset monetization strategies, including litigation finance, private company secondaries, and distressed workouts
Original fund investors retain economic rights via the SPV and participate in future upside.
Investor-Aligned Profit Sharing
We structure the economics to maximize recovery for legacy LPs:
- 80% of net profits are distributed to former fund investors, pro rata to their last known allocation
- 15%-20% performance allocation is retained by Tapestry only if we recover value
No upfront fees. No ongoing costs to LPs or the fund. Our compensation is entirely success-based.
Ideal Use Cases
- Hedge fund closures with illiquid tail-end positions
- Private funds undergoing dissolution
- Legacy side-pocket assets
- Contingent Investments
- Litigation claims, SPAC warrants, or secondary equity
Transparent & Compliant
We provide full transparency to investors and stakeholders:
- Periodic reports and monetization updates
Tapestry ensures a clean break for GPs while offering LPs a second chance at recovery.