# LP Quarterly Report: [Fund name], quarter ended [YYYY-MM-DD]

> Quarterly report from a general partner (GP) to the limited partners
> (LPs) of a closed-ended private fund: key terms, the GP letter, the
> capital account statement, fees, expenses and carried interest, fund
> performance (IRR, TVPI, DPI, RVPI, PME), the portfolio summary,
> valuation methodology, capital activity, ESG data, subsequent events
> and required disclosures. It is an original structure. Its topic
> coverage is comparable to industry reporting templates such as the
> ILPA Reporting Template (v2.0, released January 2025) and the ILPA
> Performance Template, which it does not reproduce or adapt; obtain the
> official templates from ilpa.org where your limited partnership
> agreement (LPA) or side letters require them. Legal references follow
> the EU AIFMD (Directive 2011/61/EU as amended by Directive (EU)
> 2024/927) and the US Investment Advisers Act custody rule (17 CFR
> 275.206(4)-2) as of 2026-10. Replace every `[bracketed]` value and
> every row marked *Example*. This is a document format, not financial,
> investment, tax, legal or accounting advice. Obtain the standard or
> law for the normative text.

<!--
Guidance: How to use this template
- Purpose: give every LP the same complete, reconciled picture of the
  fund each quarter, in a form they can load into their own monitoring
  systems without re-keying.
- Fill section 1 once at first close and update it only when terms
  change. Sections 3 to 6 and section 10 are numeric: produce them from
  the fund administrator's books, never from a deck.
- Every figure must tie: capital account closing balance to the
  statement of assets and liabilities, the portfolio table to the
  investment schedule, fees to the LPA calculation. Section 13 lists the
  ties to check before release.
- The worked example is fictional: Kestrel Bay Capital (a fictional
  SEC-registered investment adviser) acting as manager of the fictional
  "Kestrel Bay Growth Partners III, L.P.", quarter ended 2026-09-30,
  currency USD, amounts in USD millions unless stated.
- Boundaries: this is GP to LP fund reporting. A portfolio company
  writing to its own shareholders uses Investor Update
  (`startup/investor-update`). Fair value policy belongs in Valuation
  Policy (`compliance/valuation-policy`); the LP's own assessment of
  the manager belongs in Manager Due Diligence Report
  (`finance/manager-due-diligence-report`).
- Common pitfall: reporting gross performance prominently and net
  performance in a footnote. Show net figures first and label every
  metric as gross or net.
-->

## Document control

<!-- Guidance: One controlled report per fund per quarter. A correction after release is a new version with the reason recorded in the revision history and a notice to all LPs. -->

| Field | Value |
|---|---|
| Document ID | [LPQ-FUNDIII-2026Q3] |
| Fund | [Fund legal name] (*Example:* Kestrel Bay Growth Partners III, L.P.) |
| General partner / manager | [GP entity] / [Manager entity] (*Example:* Kestrel Bay Capital) |
| Reporting period | [YYYY-MM-DD] to [YYYY-MM-DD] (*Example:* 2026-07-01 to 2026-09-30) |
| Reporting currency and units | [USD / EUR], [millions / thousands] |
| Version | [1.0] |
| Status | [Draft / In review / Released / Corrected] |
| Owner | [@investor-relations-lead] |
| Approvers/reviewers | [@cfo], [@chief-compliance-officer], [@fund-administrator-contact] |
| Last updated | YYYY-MM-DD |
| Release date to LPs | YYYY-MM-DD (LPA deadline: [number] days after quarter end) |
| Classification | Confidential: LPs and their advisers only, subject to LPA confidentiality |
| Basis of figures | [Unaudited / Audited], [IFRS / US GAAP / other], fund administrator [name] |

### Approvals

| Role | Name | Decision | Date |
|---|---|---|---|
| Chief financial officer | [@name] | [Approve / Return] | YYYY-MM-DD |
| Chief compliance officer | [@name] | [Approve / Return] | YYYY-MM-DD |
| Managing partner | [@name] | [Approve / Return] | YYYY-MM-DD |

### Revision history

| Version | Date | Author | Change summary |
|---|---|---|---|
| 0.1 | YYYY-MM-DD | [@name] | First draft from administrator pack |
| 1.0 | YYYY-MM-DD | [@name] | *Example:* Released to LPs on the investor portal |
| 1.1 | YYYY-MM-DD | [@name] | *Example:* Corrected the expense line in section 4; all LPs notified |

## Contents

<!-- Guidance: Keep this list aligned with the headings. -->

1. [Fund overview and key terms](#1-fund-overview-and-key-terms)
2. [General partner letter](#2-general-partner-letter)
3. [Capital account statement](#3-capital-account-statement)
4. [Fees, expenses and carried interest](#4-fees-expenses-and-carried-interest)
5. [Fund performance](#5-fund-performance)
6. [Portfolio summary](#6-portfolio-summary)
7. [Valuation methodology and changes](#7-valuation-methodology-and-changes)
8. [Capital calls, distributions and liquidity](#8-capital-calls-distributions-and-liquidity)
9. [Portfolio company updates](#9-portfolio-company-updates)
10. [ESG and responsible investment reporting](#10-esg-and-responsible-investment-reporting)
11. [Subsequent events](#11-subsequent-events)
12. [Regulatory, compliance and conflicts disclosures](#12-regulatory-compliance-and-conflicts-disclosures)
13. [Reconciliations and release checks](#13-reconciliations-and-release-checks)
14. [Glossary and references](#14-glossary-and-references)
15. [Standard and licence note](#standard-and-licence-note)

## 1. Fund overview and key terms

<!-- Guidance: A one-screen summary of the fund an LP can read without the LPA. State the terms as they are in the LPA and side letters, not as marketed. Pitfall: forgetting to update the table when an LPA amendment or extension is approved. -->

| Term | Value |
|---|---|
| Fund structure and domicile | [Delaware limited partnership / Luxembourg SCSp / other] |
| Strategy | [Strategy] (*Example:* growth equity in B2B software and services, North America and Europe) |
| Vintage year and first close | [YYYY], YYYY-MM-DD (*Example:* 2022, first close 2022-05-16) |
| Final close | YYYY-MM-DD |
| Total commitments | [amount] (*Example:* USD 400.0m) |
| GP commitment | [amount and %] (*Example:* USD 8.0m, 2.0%) |
| Investment period end | YYYY-MM-DD (*Example:* 2027-05-15) |
| Term and extensions | [years] plus [number] one-year extensions with [LPAC / LP] consent |
| Management fee | [rate and basis] (*Example:* 2.0% a year on commitments during the investment period, then 1.5% on net invested capital) |
| Fee offset | [%] of transaction, monitoring and director fees (*Example:* 100%) |
| Preferred return | [rate, compounding] (*Example:* 8% a year, compounded annually) |
| Carried interest and waterfall | [rate, whole-fund or deal-by-deal, catch-up] (*Example:* 20%, whole-fund, 100% GP catch-up) |
| Clawback | [Interim / at end of term, net of tax] |
| Subscription credit facility | [Lender, size, maximum days outstanding] |
| Key persons | [Names or roles] |
| Auditor / administrator / depositary | [Names] |
| Regulatory status | [SEC-registered adviser; AIFM name and home Member State if EU marketed; SFDR classification if applicable] |

## 2. General partner letter

<!-- Guidance: Two pages at most. Explain what changed this quarter and why, in plain language, including bad news. Pitfall: a market commentary with no fund-specific content. Answer: what did we buy, sell, write up or write down, and what do we expect next quarter? -->

Write the letter in the first person plural, addressed to the limited
partners, signed by the managing partners. Cover the following points
in this order so that LPs can compare letters across quarters.

1. **Quarter in one paragraph**: net asset value (NAV) movement, the
   main drivers and the net performance figures from section 5.
2. **New investments and follow-ons**: company, amount, thesis in one
   sentence, expected holding period.
3. **Realisations**: proceeds, multiple on invested capital and how the
   exit compares with the last reported fair value.
4. **Material valuation changes**: any holding marked up or down by more
   than [10]% of its prior value, with the reason (see section 7).
5. **Portfolio health**: companies on the watch list and actions taken.
6. **Team and firm**: hires, departures, key person events, changes in
   ownership of the manager.
7. **Outlook**: pipeline, expected capital calls and distributions for
   the next two quarters, use of the subscription facility.

*Example:* "Fund NAV rose from USD 295.0m to USD 310.0m. We called USD
15.0m, mainly for a follow-on in Fenwick Labs, and distributed USD 10.0m,
the second tranche of the Osprey Payments partial sale. We wrote
Tidewell Foods down by 12% after a second quarter of missed volume
targets. Net IRR since inception is 17.6% and net TVPI is 1.54x."

## 3. Capital account statement

<!-- Guidance: Show the fund total and each LP's own account. The roll-forward must foot: opening plus movements equals closing. Allocate each line according to the LPA (fee discounts, excused investments and side letters change the pro rata). Pitfall: netting fees into "other" so that LPs cannot see what they paid. -->

### 3.1 Quarter roll-forward

All amounts USD millions. *Example* LP holds a 5.00% commitment (USD
20.0m) with no fee discount, so its column is exactly 5% of the fund.
Example simplification: carried interest is allocated pro rata to all
commitments, including the GP commitment. Where the GP commitment is
carry-free, allocate the carry to LP commitments only, so a 5% LP bears
slightly more than 5% of the accrued carry.

| Line | Fund total | LP [Name] |
|---|---|---|
| Opening NAV (2026-06-30) *Example* | 295.000 | 14.750 |
| Contributions *Example* | 15.000 | 0.750 |
| Distributions *Example* | (10.000) | (0.500) |
| Management fees, net of offsets *Example* | (1.500) | (0.075) |
| Partnership expenses *Example* | (0.400) | (0.020) |
| Net investment income (interest, dividends) *Example* | 0.600 | 0.030 |
| Realised gain (loss) *Example* | 4.000 | 0.200 |
| Change in unrealised gain (loss) *Example* | 9.800 | 0.490 |
| Change in accrued carried interest *Example* | (2.500) | (0.125) |
| **Closing NAV (2026-09-30)** *Example* | **310.000** | **15.500** |

Check: 295.0 + 15.0 - 10.0 - 1.5 - 0.4 + 0.6 + 4.0 + 9.8 - 2.5 = 310.0.
Before carry, gross NAV moves from 327.5 (295.0 + accrued carry 32.5)
to 345.0: 327.5 + 15.0 - 10.0 - 1.5 - 0.4 + 0.6 + 4.0 + 9.8 = 345.0.

### 3.2 Inception-to-date summary

| Line | Fund total | LP [Name] |
|---|---|---|
| Commitment *Example* | 400.000 | 20.000 |
| Paid-in capital *Example* | 260.000 | 13.000 |
| Unfunded commitment *Example* | 140.000 | 7.000 |
| Paid-in as % of commitment *Example* | 65.0% | 65.0% |
| Cumulative distributions *Example* | 90.000 | 4.500 |
| of which recallable *Example* | 0.000 | 0.000 |
| Closing NAV, net of accrued carried interest *Example* | 310.000 | 15.500 |

State whether recallable distributions increase the unfunded
commitment and whether any capital was called for amounts later
returned (for example a deal that did not close).

## 4. Fees, expenses and carried interest

<!-- Guidance: Make every amount LPs pay visible: management fee gross, offsets, net; each expense category; carried interest accrued and paid; amounts the manager or its affiliates received from portfolio companies. Pitfall: reporting offsets without the gross fees they offset. -->

### 4.1 Management fee and offsets (quarter)

| Line | Fund total | Basis |
|---|---|---|
| Gross management fee *Example* | 2.000 | 2.0% a year x USD 400.0m commitments / 4 |
| Transaction and monitoring fees received by manager *Example* | 0.500 | Paid by portfolio companies |
| Offset applied (100%) *Example* | (0.500) | LPA [section] |
| **Net management fee charged** *Example* | **1.500** | 2.000 - 0.500 |

### 4.2 Partnership expenses (quarter)

| Category | Amount | Comment |
|---|---|---|
| Fund administration *Example* | 0.120 | Administrator fee |
| Audit and tax *Example* | 0.080 | Accrual for annual audit |
| Legal *Example* | 0.090 | Fund-level counsel |
| Broken-deal costs *Example* | 0.060 | One terminated transaction |
| Subscription facility interest and fees *Example* | 0.050 | See section 8.3 |
| **Total** *Example* | **0.400** | Ties to section 3.1 |

### 4.3 Carried interest

Describe the waterfall as defined in the LPA and show a hypothetical
liquidation at period-end NAV. Carried interest is accrued as if the
fund were liquidated at reported fair value; it is not payable until
the waterfall conditions are met.

*Example* hypothetical liquidation at 2026-09-30 (USD millions; whole-fund
waterfall, 8% preferred return compounded annually, 100% catch-up, 20%
carry). The preferred return accrues on contributions net of
distributions, using the dated flows in section 5.3 (actual/365): the
hurdle balance at 2026-09-30 is 226.5, so LPs must receive 90.0 + 226.5
= 316.5 before the catch-up, which makes the preferred return 316.5 -
260.0 = 56.5. Reconcile this to the administrator's waterfall model:

| Step | To LPs | To GP (carry) | Cumulative |
|---|---|---|---|
| Value available: distributions 90.0 + gross NAV before carry 345.0 *Example* | | | 435.0 |
| 1. Return of paid-in capital *Example* | 260.0 | | 260.0 |
| 2. Preferred return *Example* | 56.5 | | 316.5 |
| 3. GP catch-up (until GP holds 20% of profit) *Example* | | 14.1 | 330.6 |
| 4. Remaining split 80/20 *Example* | 83.5 | 20.9 | 435.0 |
| **Total** *Example* | **400.0** | **35.0** | |

Checks: catch-up 14.1 / (56.5 + 14.1) = 20%; carry 14.1 + 20.9 = 35.0
= 20% of profit (435.0 - 260.0 = 175.0); LP total 260.0 + 56.5 + 83.5
= 400.0 = distributions 90.0 + net NAV 310.0. The same calculation at
2026-06-30 (paid-in 245.0, distributions 80.0, gross NAV 327.5, hurdle
balance 217.1, preferred return 52.1) gives accrued carry of 32.5, so
the change in the quarter is 2.5, as in section 3.1. Because the
catch-up is fully reached in both quarters, accrued carry equals 20% of
cumulative profit; if value fell below 316.5 + 14.1 = 330.6, the carry
would be smaller than 20% and the table would show it. Carry paid to date: 0.0; clawback exposure: none.

### 4.4 Fees and expenses inception to date

| Item | Quarter | Year to date | Inception to date |
|---|---|---|---|
| Net management fees | [amount] | [amount] | [amount] |
| Partnership expenses | [amount] | [amount] | [amount] |
| Organisational expenses (capped at [amount]) | [amount] | [amount] | [amount] |
| Carried interest paid | [amount] | [amount] | [amount] |
| Fees received by manager affiliates from portfolio companies (gross) | [amount] | [amount] | [amount] |

## 5. Fund performance

<!-- Guidance: Report net performance to LPs first, then gross. State the method, the cash-flow dates used, whether subscription facility timing affects IRR and the treatment of the GP commitment. Pitfall: IRR presented without the multiples, which hides the effect of quick early distributions or long-dated facility use. -->

### 5.1 Definitions and formulas

Internal rate of return (IRR) is the rate $r$ that sets the net present
value of dated cash flows $CF_i$ (contributions negative, distributions
positive, period-end NAV as the final positive flow) to zero, with
$t_i$ in years from the first cash flow (actual/365):

$$
\sum_{i=0}^{n} \frac{CF_i}{(1+r)^{t_i}} = 0
$$

Multiples on paid-in capital (PIC), with cumulative distributions $D$
and residual value $NAV$:

$$
DPI = \frac{D}{PIC}, \qquad RVPI = \frac{NAV}{PIC}, \qquad TVPI = DPI + RVPI = \frac{D + NAV}{PIC}
$$

Public market equivalent, Kaplan-Schoar method (KS-PME), with an index
level $I_t$ for each cash-flow date and $I_T$ at the reporting date:

$$
\text{KS-PME} = \frac{\sum_t D_t \frac{I_T}{I_t} + NAV_T}{\sum_t C_t \frac{I_T}{I_t}}
$$

A KS-PME above 1.0 means the fund beat the index on a cash-flow-matched
basis.

### 5.2 Performance summary (2026-09-30)

| Metric | Net to LPs | Gross (portfolio) | Comment |
|---|---|---|---|
| IRR since inception *Example* | 17.6% | [x.x]% | Net from section 5.3 cash flows |
| TVPI / MOIC *Example* | 1.54x | 1.82x | Net 400.0 / 260.0; gross 430.0 / 236.0 |
| DPI *Example* | 0.35x | | 90.0 / 260.0 |
| RVPI *Example* | 1.19x | | 310.0 / 260.0 |
| KS-PME vs [Index] *Example* | 1.15 | | Section 5.4 |
| IRR excluding subscription facility effect | [x.x]% | | Required when the facility was used |

### 5.3 Net cash flows used for IRR (fund level)

| Date | Contributions | Distributions | Net flow | Note |
|---|---|---|---|---|
| 2022-06-30 *Example* | (60.0) | 0.0 | (60.0) | Calls in year 1, dated together for brevity |
| 2023-06-30 *Example* | (80.0) | 0.0 | (80.0) | |
| 2024-06-30 *Example* | (70.0) | 0.0 | (70.0) | |
| 2025-06-30 *Example* | (35.0) | 60.0 | 25.0 | PC-001 Larkspur exit proceeds |
| 2026-06-30 *Example* | 0.0 | 20.0 | 20.0 | PC-003 Osprey partial sale, first tranche |
| 2026-08-14 *Example* | (15.0) | 0.0 | (15.0) | CC-012 (section 8.1) |
| 2026-09-10 *Example* | 0.0 | 10.0 | 10.0 | DN-005, PC-003 second tranche (section 8.2) |
| 2026-09-30 *Example* | | | 310.0 | Closing NAV as terminal value |
| **Total** *Example* | **(260.0)** | **90.0** | | |

Solving the IRR equation on these flows with actual/365 day count gives
17.6%. A real report uses each actual call and distribution date rather
than dating a year's calls together.

### 5.4 KS-PME computation

Index levels *Example* (total return, USD): 100 (2022-06-30), 112
(2023-06-30), 130 (2024-06-30), 141 (2025-06-30), 158 (2026-06-30), 160
(2026-08-14), 161 (2026-09-10), 162 (2026-09-30).

| Flow | Amount | Factor $I_T/I_t$ | Future value |
|---|---|---|---|
| Contribution 2022-06-30 *Example* | 60.0 | 1.6200 | 97.20 |
| Contribution 2023-06-30 *Example* | 80.0 | 1.4464 | 115.71 |
| Contribution 2024-06-30 *Example* | 70.0 | 1.2462 | 87.23 |
| Contribution 2025-06-30 *Example* | 35.0 | 1.1489 | 40.21 |
| Contribution 2026-08-14 *Example* | 15.0 | 1.0125 | 15.19 |
| Distribution 2025-06-30 *Example* | 60.0 | 1.1489 | 68.94 |
| Distribution 2026-06-30 *Example* | 20.0 | 1.0253 | 20.51 |
| Distribution 2026-09-10 *Example* | 10.0 | 1.0062 | 10.06 |

KS-PME = (68.94 + 20.51 + 10.06 + 310.0) / (97.20 + 115.71 + 87.23 +
40.21 + 15.19) = 409.51 / 355.54 = 1.15. Name the index, its total
return basis and the currency.

## 6. Portfolio summary

<!-- Guidance: One row per investment with cost, realised and unrealised value. Totals must tie to the statement of assets and liabilities. Pitfall: grouping small holdings as "other" so that write-downs disappear; list every holding or disclose the threshold. -->

USD millions, 2026-09-30.

| ID | Company | Sector / country | Date invested | Cost | Realised | Unrealised fair value | Total value | Gross MOIC | Status |
|---|---|---|---|---|---|---|---|---|---|
| PC-001 *Example* | Larkspur Logistics | Logistics software / US | 2022-07 | 40.0 | 60.0 | 0.0 | 60.0 | 1.50x | Realised |
| PC-002 *Example* | Brightmoor Health IT | Health IT / UK | 2022-11 | 45.0 | 0.0 | 81.0 | 81.0 | 1.80x | Unrealised |
| PC-003 *Example* | Osprey Payments | Payments / DE | 2023-03 | 50.0 | 30.0 | 70.0 | 100.0 | 2.00x | Partially realised |
| PC-004 *Example* | Tidewell Foods | Food tech / US | 2023-09 | 35.0 | 0.0 | 28.0 | 28.0 | 0.80x | Watch list |
| PC-005 *Example* | Cobalt Ridge Software | DevOps software / US | 2024-05 | 38.0 | 0.0 | 95.0 | 95.0 | 2.50x | Unrealised |
| PC-006 *Example* | Fenwick Labs | Lab automation / FR | 2025-02 | 28.0 | 0.0 | 66.0 | 66.0 | 2.36x | Unrealised |
| **Total** *Example* | | | | **236.0** | **90.0** | **340.0** | **430.0** | **1.82x** | |

Reconciliation to NAV *Example*: unrealised fair value 340.0 + cash and
other net assets 5.0 = gross NAV 345.0; less accrued carried interest
35.0 = net NAV 310.0. Paid-in capital 260.0 less invested cost 236.0
leaves 24.0 used for fees, expenses and working capital since inception.

Add, for each unrealised holding, the operating metrics LPs track
(revenue, EBITDA, net debt, ownership %, board seats) in section 9.

## 7. Valuation methodology and changes

<!-- Guidance: Tell LPs how fair value was measured, who approved it and what changed. Point to the valuation policy rather than restating it. Pitfall: describing "a market approach" without the multiple, the comparable set or the adjustment applied. -->

Fair value is measured under [IFRS 13 / ASC Topic 820] and the
manager's valuation policy (see Valuation Policy,
`compliance/valuation-policy`), which follows the IPEV Valuation
Guidelines (2025 edition, effective for reporting periods beginning on
or after 2026-04-01) by name. All private holdings are Level 3 in the
fair value hierarchy.

| Holding | Primary technique | Key input | Prior quarter | This quarter | Change and reason |
|---|---|---|---|---|---|
| PC-002 *Example* | EV / forward revenue multiple | 6.0x (5.6x prior) | 76.0 | 81.0 | Peer multiples rose; revenue on plan |
| PC-004 *Example* | EV / EBITDA, cross-checked by DCF | 9.0x | 31.8 | 28.0 | Down 12%: volume targets missed twice |
| PC-005 *Example* | Calibrated to last round, then EV / revenue | Round price, adjusted | 88.0 | 95.0 | Calibration roll-forward |

State: valuation committee date and members, use of any independent
valuer or third-party review, changes of technique (with the reason and
effect), the treatment of recent transactions as calibration points,
and the sensitivity of the largest holdings to their key input.

## 8. Capital calls, distributions and liquidity

<!-- Guidance: List every call and distribution in the quarter with its purpose, so that LPs can match notices to cash. Show the subscription facility balance and age, because it changes IRR timing. Pitfall: describing a distribution as "return of capital" without the split between cost and gain. -->

### 8.1 Capital calls in the quarter

| Notice ID | Due date | Amount (fund) | Purpose | LP share |
|---|---|---|---|---|
| CC-012 *Example* | 2026-08-14 | 15.000 | Follow-on in PC-006 (13.1); net management fee (1.5); expenses (0.4) | 0.750 |

### 8.2 Distributions in the quarter

| Notice ID | Payment date | Amount (fund) | Return of cost | Gain | Recallable | LP share |
|---|---|---|---|---|---|---|
| DN-005 *Example* | 2026-09-10 | 10.000 | 3.000 | 7.000 | No | 0.500 |

### 8.3 Subscription credit facility

| Item | Value |
|---|---|
| Facility size *Example* | USD 60.0m |
| Drawn at quarter end *Example* | USD 18.0m |
| Weighted average days outstanding *Example* | 74 days |
| Maximum days permitted by LPA *Example* | 180 days |
| Interest and fees in quarter *Example* | USD 0.050m (section 4.2) |

### 8.4 Forecast

| Quarter | Expected calls | Expected distributions | Basis |
|---|---|---|---|
| [Next quarter] | [amount] | [amount] | [Pipeline, exit processes] |
| [Following quarter] | [amount] | [amount] | [Basis] |

## 9. Portfolio company updates

<!-- Guidance: One short block per active holding. Use the same metrics every quarter so that trends are visible. Pitfall: changing a company's KPI set when the old KPI turns negative. -->

For each active company, report:

| Field | PC-004 Tidewell Foods *Example* |
|---|---|
| Ownership (fully diluted) | 60% |
| Board seats | 4 of 7 |
| LTM revenue / growth | USD 64.0m / 4% |
| LTM EBITDA / margin | USD 7.7m / 12.0% |
| Net debt / EBITDA | 2.9x (USD 22.6m) |
| Quarter summary | Two large retail contracts delayed; new chief commercial officer hired |
| Value creation plan status | Pricing project complete; procurement savings 40% delivered |
| Risks and actions | Covenant headroom 18%; weekly cash reporting started |
| Watch list | Yes, since 2026-06-30 |

Check the arithmetic in every row (here EBITDA 7.7 / revenue 64.0 =
12.0%; net debt 22.6 / EBITDA 7.7 = 2.9x). Fair value check, tying to
sections 6 and 7: (9.0 x 7.7 - 22.6) x 60% = (69.3 - 22.6) x 60% = 28.0.

## 10. ESG and responsible investment reporting

<!-- Guidance: Report the ESG data the LPA, side letters or applicable law require, with the same definitions each period. Label estimates. Pitfall: mixing calendar-year and fiscal-year data without saying so. -->

| Item | Value | Notes |
|---|---|---|
| SFDR product classification (if marketed in the EU) | [Article 6 / 8 / 9] | SFDR (Regulation (EU) 2019/2088) and Delegated Regulation (EU) 2022/1288 as in force; SFDR 2.0 (Commission proposal COM(2025) 841) is a proposal and not law as of 2026-10: the European Parliament and the Council have adopted their negotiating positions and trilogue negotiations are under way; check the current status |
| ESG incidents in the quarter | [Number and summary] | Severity per policy |
| Companies with an ESG action plan | [Number / total] | |
| Scope 1 and 2 emissions coverage | [% of portfolio by value] | Reported or estimated |
| Board diversity data | [Data as agreed with LPs] | Define the metric |
| Exclusions breaches | [None / details] | Responsible Investment Policy (`finance/responsible-investment-policy`) |

## 11. Subsequent events

<!-- Guidance: Report material events between quarter end and release that LPs need to read the figures correctly. Pitfall: omitting a signed exit because it has not closed. -->

| Date | Event | Expected effect |
|---|---|---|
| 2026-10-12 *Example* | Signed agreement to sell PC-002 Brightmoor Health IT, closing expected Q1 2027 | Headline price about 7% above 2026-09-30 fair value; not reflected in NAV |
| YYYY-MM-DD | [Event] | [Effect] |

## 12. Regulatory, compliance and conflicts disclosures

<!-- Guidance: List the disclosures your regime and documents require, with where each is satisfied. Do not imply a legal requirement that does not apply. Pitfall: citing the SEC private fund quarterly statement rule; it was vacated. -->

Jurisdiction view as of 2026-10; check local law and your fund documents.

| Regime | Requirement relevant to LP reporting | Where met |
|---|---|---|
| LPA and side letters | Content and deadline of quarterly and annual reports; most-favoured-nation elections | This report; [annual report] |
| US: Advisers Act custody rule, 17 CFR 275.206(4)-2(b)(4) | A pooled vehicle relying on the audit approach is audited at least annually and its audited financial statements are distributed to investors within 120 days of fiscal year end | Annual audited financial statements |
| US: SEC Private Fund Adviser Rules (2023) | Vacated in full by the Fifth Circuit on 2024-06-05 (National Association of Private Fund Managers v. SEC); quarterly statements are not SEC-mandated, they are contractual | Not applicable |
| EU: AIFMD Article 22 | Annual report for each EU AIF managed or AIF marketed in the Union within 6 months of financial year end | Annual report |
| EU: AIFMD Article 23, as amended by Directive (EU) 2024/927 | Pre-investment and periodic disclosures; the amendment adds an annual disclosure of all fees, charges and expenses borne by investors (Member States apply it from 2026-04-16; check national transposition) | Section 4 and annual report |
| EU: SFDR | Periodic product disclosures for Article 8 or 9 products | Section 10 and annual SFDR annex |

Conflicts and related-party disclosures for the quarter:

| ID | Matter | Treatment |
|---|---|---|
| COI-011 *Example* | Kestrel Bay Growth Partners II also invested in PC-003 at the same round | Same price and terms; LPAC consulted on 2026-07-20 |
| COI-012 *Example* | Operating partner received consulting fees from PC-004 | Fully offset against the management fee (section 4.1) |

See Conflicts of Interest Register (`compliance/conflicts-of-interest-register`).

## 13. Reconciliations and release checks

<!-- Guidance: Complete before release and keep the evidence. A second person checks each line. Pitfall: releasing on the GP's own spreadsheet before the administrator's figures are final. -->

| Check ID | Check | Evidence | Done by | Result |
|---|---|---|---|---|
| CHK-01 | Capital account roll-forward foots for the fund and every LP | Administrator capital statement | [@name] | [Pass / Fail] |
| CHK-02 | Closing NAV equals the statement of assets and liabilities | Financial statements | [@name] | [Result] |
| CHK-03 | Portfolio table totals equal the investment schedule | Schedule of investments | [@name] | [Result] |
| CHK-04 | Management fee and offset recalculated from LPA terms | Fee workbook | [@name] | [Result] |
| CHK-05 | Carry waterfall recalculated; accrued change ties to section 3.1 | Waterfall model | [@name] | [Result] |
| CHK-06 | IRR, TVPI, DPI, RVPI and PME recomputed independently | Performance workbook | [@name] | [Result] |
| CHK-07 | Valuations approved by the valuation committee | Minutes dated YYYY-MM-DD | [@name] | [Result] |
| CHK-08 | Compliance review of letter and disclosures (no misleading statements) | CCO sign-off | [@name] | [Result] |
| CHK-09 | Machine-readable data file matches the PDF | Data export | [@name] | [Result] |

```mermaid
flowchart LR
  A[Quarter end] --> B[Administrator closes books]
  B --> C[Valuation committee approves fair values]
  C --> D[Administrator issues capital statements]
  D --> E[IR drafts report and GP letter]
  E --> F[Finance and compliance checks CHK-01 to CHK-09]
  F --> G{All pass?}
  G -- No --> E
  G -- Yes --> H[Release on investor portal]
```

Common errors found at release, and how to avoid them:

- **Waterfall from a stale model.** The preferred return depends on the
  date of every call and distribution. Recompute the hurdle balance
  from the cash flows in section 5.3 each quarter, rather than rolling
  forward last quarter's figure.
- **Carry change that does not tie.** The change in accrued carried
  interest in section 3.1 must equal this quarter's hypothetical
  liquidation carry less last quarter's. A difference usually means
  that one of the two quarters used a different NAV or cash flow set.
- **Valuation inputs that do not reproduce the value.** For each
  holding in section 9, multiply out the multiple, the metric, the net
  debt and the ownership share. If the result does not equal the fair
  value in section 6, the inputs or the value are wrong.
- **Conflict IDs from a different list.** Use the IDs of the manager's
  Conflicts of Interest Register so that LPs and auditors can trace
  each disclosure.

## 14. Glossary and references

<!-- Guidance: Define every metric once; LPs compare definitions across managers. -->

| Term | Meaning in this report |
|---|---|
| Paid-in capital (PIC) | Cumulative contributions by LPs, including amounts for fees and expenses |
| NAV | Net asset value attributable to LPs after accrued carried interest |
| DPI, RVPI, TVPI | Distributions, residual value and total value divided by paid-in capital |
| MOIC | Gross multiple on invested capital at the deal level |
| IRR | Money-weighted annualised return from dated cash flows |
| KS-PME | Kaplan-Schoar public market equivalent ratio |
| Hurdle / preferred return | Return LPs receive before carried interest |
| Catch-up | Share of profit paid to the GP after the hurdle until it reaches its carry percentage |
| Clawback | GP obligation to return carry received in excess of its entitlement |

References (obtain current versions):

- Directive 2011/61/EU (AIFMD), Articles 19, 22 and 23; Directive (EU) 2024/927 amending it, EUR-Lex.
- 17 CFR 275.206(4)-2, custody of funds or securities of clients by investment advisers, eCFR.
- Regulation (EU) 2019/2088 (SFDR) and Delegated Regulation (EU) 2022/1288, EUR-Lex.
- ILPA Reporting Template v2.0 and ILPA Performance Template (names only; ilpa.org).
- IPEV International Private Equity and Venture Capital Valuation Guidelines, 2025 edition (name only).
- IFRS 13 Fair Value Measurement; FASB ASC Topic 820 (names only).
- Kaplan, S. N. and Schoar, A. (2005), "Private Equity Performance: Returns, Persistence, and Capital Flows", Journal of Finance 60(4).
- Related templates: Valuation Policy (`compliance/valuation-policy`), Manager Due Diligence Report (`finance/manager-due-diligence-report`), Private Equity Investment Memo (`finance/private-equity-investment-memo`), Performance Composite Report (`finance/performance-composite-report`), Investor Update (`startup/investor-update`).

## Standard and licence note

Based on public law: AIFMD (Directive 2011/61/EU, as amended by
Directive (EU) 2024/927) from EUR-Lex, reused with acknowledgement
under Commission Decision 2011/833/EU, and the US custody rule (17 CFR
275.206(4)-2), a US government work. Structure aligned with industry
practice for GP to LP reporting; the ILPA Reporting Template, ILPA
Performance Template and IPEV Valuation Guidelines are cited by name
only, and no question, field list, layout or text from them is
reproduced or adapted. This template is not affiliated with or endorsed
by ILPA, IPEV or any regulator. All names, companies and figures in the
examples are fictional. This template is original text written for
this collection. Check the current official versions of each law and
industry template before use. Template licence: MIT.