What happens in the event that an investment is made in a company, but there is no liquidity event for that equity (or token) by the time the fund term has finished? Said another way, how do we manage the disposal of non-liquid assets after completion of the fund?
Community Member
If an investment in a company has not had a liquidity event by the time the fund term has finished, there may be an extension period to wait for an exit. Another option is to distribute the private shares to Limited Partners (LPs). These funds are usually created with one or two optional 1-year extensions. It's important to note that startup investments may take years before a liquidity event occurs.
