Re-Up via Odyssey
The Re-Up program via Odyssey through consistent annual contributions and a disciplined multi-fund approach, investors gradually build exposure to private equity. As the first funds enter the distribution phase (often around year 7), the cash flows generated can serve as a source of transferable income, while maintaining the overall consistency of the strategy.
Strategic architecture
Multi-vintage construction
Investors commit to several vintages each year, in a regular and structured manner, in order to smooth out economic cycles and avoid concentration on a single entry point.
Overlaying flows
The natural gap between commitments and capital calls allows cash flow to be spread out over the first few years, limiting the low point in cash flow and making the trajectory easier to read.
Institutional distribution logic
The overlapping of vintages during the distribution phase allows for the generation of regular cash flows upon maturity. These distributions can be directed to designated beneficiaries, promoting a gradual and organized transfer of income.
Steering via simulation
The trajectory can be constructed from:
- Available capital
- Target capital at a given time horizon
- Target income
Projections can be expressed gross or net of income tax. The modeling incorporates capital calls, cash flow troughs, and estimates of future cash flows.
Taxation: gains realized are subject to the applicable capital gains tax regime.
The advantages for investors
- A gradual transition: the organization of cash flows rather than a one-time transfer of capital.
- Greater financial transparency: projections can be presented on a gross or net-of-income-tax basis, depending on the parameters selected.
- Institutional discipline: regular commitments and temporal diversification to smooth out cycles.
- Flexibility in the structure of asset transfers.
The graphic illustration or result presented is not a reliable indicator of future performance. The evolution of values may differ from what is shown, either upward or downward. Gains and losses may exceed the amounts shown in the most favorable and most unfavorable scenarios, respectively. Past performance is not indicative of future results. The applicable tax treatment depends on your individual circumstances. The Re-up program does not constitute an automatic subscription offer or a contractual commitment. Annual subscription to a new Vintage the Odyssey range Odyssey entirely optional and must be the subject of a separate investment decision, based on the regulatory documents of the fund concerned and the individual circumstances of the investor.
