Captive Funds
Captive funds are investment vehicles managed by a financial institution or parent company exclusively for its employees, clients, or affiliates. These funds are often used to align the interests of the parent company with its stakeholders. Captive funds offer specialized investment opportunities but may limit investor access to broader markets. They are typically designed to optimize in-house management and capital deployment strategies.
Key Takeaways
- Investment vehicles managed exclusively by a parent company.
- Commonly targeted at employees, clients, or affiliates.
- Offers specialized investment strategies.
- Designed to align parent company and stakeholder interests.
