Preqin Pro’s Suggested LPs uses powerful and personalized modelling to rank the most relevant LPs for a GP using our Preqin Match score, based on customer use cases.

Once applied to Preqin’s extensive database of 29,300+ LPs, results are generated and ranked to make it quicker and easier for a GP to identify the best opportunities for networking and fundraising.

Each GP uses Preqin Pro differently, depending on whether you’re a first-time private capital fund manager, a more established private capital fund manager, or a hedge fund manager. Based on client profiles, we have developed different models to help GPs connect with the most relevant LPs.

Suggested LPs can help first-time fund managers find LPs that are more likely to invest in small/early-stage GPs or act as cornerstone investors.

Suggested LPs can help you with two different use-cases:

For example, you are fundraising for your very first fund and want to find LPs who have either committed to first-time managers previously, or are open to making commitments in the future. The ‘Raise a new fund’ tab will help you identify the strongest prospects and introduce you to LPs who are most likely to invest in your first-time fund.

For example, you are raising your first fund but your firm has already done extensive research on some investors through Preqin Pro. The ‘Unexplored LPs’ tab will help you to identify new allocation opportunities by introducing you to new LPs you haven’t discovered in Preqin Pro yet and may not know about.

LP results will then be ranked by our Preqin Match score, showing you LPs that are most relevant to your search, with the strongest matches listed first.

Results can further be refined by location to reveal opportunities with local investors that have mandates focusing only on certain regions or countries, and by investor type.

You can also toggle to show/hide LPs who have invested in your firm before – for example, there are cases where our algorithm suggests considering existing LPs as they may be more likely to reinvest. However, if you're looking for new LPs, existing ones can be toggled on/off.

Suggested LPs can help fund managers who have had successful first funds and are scaling up and looking to build their network to find LPs that would consider investing in their fund series.

Suggested LPs can help you with three different use-cases:

For example, you want to find investors to commit capital to your next fund in a fund series. The ‘Raise a new fund’ tab will help you identify the strongest LPs, that based on our powerful data matching algorithm, will be most likely to commit capital to your next fund.

For example, you want to find LPs who will be most likely to invest in your current fund series, the ‘Grow my network’ tab will return LPs that we think will help to grow your existing established fund series.

For example, you want to broaden your existing network of LPs. The ‘Unexplored LPs’ tab will help you to identify new allocation opportunities by introducing you to new LPs you haven’t previously viewed in Preqin Pro and may not have thought about before.

LP results will then be ranked by our Preqin Match score, showing you LPs that are most relevant to your search, with the strongest matches listed first.

Results can further be refined by location to reveal opportunities with local investors that have mandates focusing only on certain regions or countries, and by investor type.

You can also toggle to show/hide LPs who have invested in your firm before – for example, there are cases where our algorithm suggests considering existing LPs as they may be more likely to reinvest. However, if you're looking for new LPs, existing ones can be toggled on/off.

Suggested LPs helps hedge fund manager to find potential investors to invest.

Suggested LPs can help you with the following use-case:

For example, you want to find investors who will be most likely to invest in any of your existing or future funds. The 'Grow my network' tab will show investors that our algorithm determined as most likely to help grow your fund.

Investor results will then be ranked by our Preqin Match score, showing you investors that are most relevant to your search, with the strongest matches listed first.

Results can be refined by location to reveal opportunities with local investors that have mandates focusing only on certain regions or countries, and by investor type.

You can also toggle to show/hide LPs who have invested in your firm before – for example, there are cases where our algorithm suggests considering existing LPs as they may be more likely to reinvest. However, if you're looking for new investors, existing ones can be toggled on/off.

Preqin’s Suggested LPs is powered by one of two models, which return investor profile results ranked by our Preqin Match score, showing you the closest match first. The model used/chosen will be based on the quantity of information we have on your firm and the use-case you’re looking to use Suggested LPs for.

The Unexplored LPs tab is an extra feature that acts as a filter, and is applied on top of either of the two models which filters based on Preqin Pro usage across accounts of a GP firm within the previous three months.

Our preference-based model works by taking into account the features of your firm’s customer profile and those of the LPs you are searching for to provide the closest matches. Preference features considered include strategy, regional preference, and preferred investment size.

Investors whose preferences match most closely with your customer profile will show in the results and rank from highest to lowest using our Preqin Match score.

Our connection-based model uses a powerful modelling to rank the most relevant LPs for GPs. Developed by our Data Science team, this model uses the Personalized PageRank algorithm to determine the statistical significance of an LP profile to a GP.

By leveraging the Personalized PageRank algorithm, the model will:

Connections are defined as direct or indirect link(s) between a fund manager and an LP across any of the following entities and their attributes:

These connections are then mapped into a complex network of paths. From there, the algorithm measures the number and quality of these connections to assign a numerical value to an LP profile.

An individual fund manager can have several connections in Preqin’s database. The algorithm analyzes dozens of those connections between database entities and then measures their respective mathematical importance to determine the 'Match score'. Potential connections can include a fund manager, a fund, a consultant, an investor’s geographical preference, a deal executed in a given year, etc.

Once the connections have been identified and measured by the algorithm, a 'Match score' of 100% is attributed to the investor with the highest statistical significance. That investor’s score is then used as the index to calculate the score of other LPs on the list, as shown in the example below:

There can be many unique connection paths linking an individual GP to an LP. Therefore, the algorithm will apply the Shortest Path methodology to identify the most direct path between a GP and LP. This logic is then used to describe the connection underlying the score in simple terms, allowing the GP to understand the reasoning behind the suggestion for business development and outreach purposes.

As a note, Suggested LPs are most relevant when your firm profile is both up-to-date and comprehensive. Because we consider many types of connections with Suggested LPs, we encourage you to update your profile by contacting our Research Team via [email protected] to enhance your results.