Placement agent

An intermediary assisting an issuer or fund manager with investor introductions and fundraising. The engagement may cover selected tasks or a broader process, and compensation varies by agreement. Fees may use attributable commitments, contributed cash, retainers or another defined basis; these are not interchangeable.

Also called Placement agency

Placement agent in practice

Hypothetical: a first-time fund manager engages an agent for selected investor introductions and fundraising support. The engagement sets responsibilities and fees; governing documents determine whether the manager or fund bears each expense and whether offsets apply.

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