How the engagement works at a glance
Mid market and emerging GPs hit the same wall on every fund: a strong track record, a credible thesis, and an IR team of two or three people trying to cover an LP universe of 100,000+ allocators globally. Keystone fixes that by embedding our own brokers directly into your capital formation team for the duration of a fundraise or a co invest syndication.
Our brokers work as an extension of your GP, under NDA, under your head of IR, and against your live fund or transaction. They use Keystone's proprietary LP intelligence platform (60,000+ family offices, 20,000+ institutional allocators, plus VC and PE co invest pools) to build, qualify, and run targeted outreach into the LPs most likely to commit.
The embedded model in detail
Embedded means embedded. A Keystone broker is dedicated to your fundraise or co invest mandate from first close planning through final close. They sit on your IR team's internal channels, join your weekly capital formation calls, work from your PPM and data room, and represent the fund using your GP brand in every LP conversation.
What sits with Keystone
- A FINRA licensed broker (Series 7 / 63 / 82 as required) embedded full time on your fund or deal.
- Access to Keystone's full LP intelligence platform, 60,000+ family offices, sovereign wealth, pensions, endowments, foundations, fund of funds, and PE co invest pools.
- Targeted LP list construction, sequencing, outreach, qualification calls, and IC ready feedback capture.
- Weekly pipeline reporting, CRM hygiene, and full audit trail of every LP touched.
- All compliance, supervision, and broker dealer registration of our placement personnel.
What sits with your GP
- The LP relationship, the fund, the LPA, and the senior partner calls.
- Fund terms, side letters, MFN negotiation, and bespoke economics with LPs we surface.
- Final IC, subscription documents, and close mechanics.
- Branding, every LP interaction goes out under your GP, not ours.
From kickoff to close: the LP placement process
We run a structured 5-stage process on every mandate, calibrated to PE fundraising rhythms. Most fund mandates run 6 to 14 months from kickoff to final close; co invest syndications typically run 4 to 10 weeks per deal.
- Intake & mandate scoping (Week 0 to 2). We sit with your head of IR, read the PPM and DDQ, agree the LP universe, target ticket band, geographic priorities, and excluded LPs. We draft the outreach narrative and get partner sign off.
- Universe build (Week 2 to 4). Using Keystone's platform we build the target LP list, typically 300 to 1,200 qualified allocators depending on fund size. Every name is checked against recent commitment activity, allocation policy, and dry powder signals before it enters outreach.
- Outreach & qualification (Month 2 to 8). Our embedded broker runs sequenced outreach under your GP brand. We book intro calls, qualify interest, capture allocation feedback, and hand warm LPs directly to your senior partner for the pitch.
- Diligence support (Month 4 to 12). We manage data room access, schedule diligence calls, track DDQ responses, and chase outstanding items so your partners stay focused on conviction building.
- Close & post mortem. We document every LP touched, every reason given for pass or pursue, and hand your GP a closeout pack that informs the next vintage and the next co invest.
The LP universe we bring to the table
Keystone maintains one of the most complete and continuously refreshed LP datasets in the market. Every record is re verified on a rolling cycle so partners, emails, and allocation mandates stay current, and our brokers prioritize LPs with live commitment signals to comparable funds over allocators that have quietly stopped writing tickets.
- 60,000+ family offices, single and multi family, globally, by far the fastest growing source of PE capital.
- 20,000+ sovereign wealth, pension, endowment, foundation, and insurance allocators.
- Fund of funds, OCIOs, and consultant advised LP pools.
- 100,000+ PE firms tagged for co invest, secondary, and GP led activity.
- Strategics and corporates active in minority and growth investing.
Commercials: a flat 25% performance fee
We deliberately keep our pricing simple so the conversation with your CFO is short.
The structure
- Zero retainer. Zero monthly fee. Zero setup cost.
- 25% of the placement economics earned on commitments we directly source and close, applied to placement fee, fundraising cost reimbursement, or equivalent GP economics on co invest.
- Invoiced at close, payable on standard 30 day terms.
- No fee on LPs sourced by your in house IR team, we are only paid on allocators we introduce and qualify.
- For multi vintage relationships, a 12 month tail applies (see FAQ).
Why this works for both sides
IR and capital formation headcount is one of the most expensive lines on a GP P&L, and it sits idle between fundraises. Our model converts that fixed cost into a variable cost that only triggers when commitments close. Your gross retained economics on every Keystone sourced dollar is 75%, with no hiring, no FINRA sponsorship, and no idle bench between vintages.
Compliance, registration & supervision
Marketing a private fund to LPs is a regulated activity in every jurisdiction we operate in. Keystone's placement personnel are registered representatives of a FINRA/SIPC member broker dealer, fully supervised under that firm's WSPs.
- Every embedded broker holds the licenses appropriate to private fund placement (Series 7, 63, 82, and where required 79).
- All electronic communications with LPs are captured, archived, and supervised under SEC 17a 4 retention rules.
- We sign a mutual NDA at kickoff and operate under a written placement agent agreement appended to your fund documents.
- We respect 506(b) vs 506(c) outreach restrictions and confirm LP accreditation through your subscription pack.
- BrokerCheck records for every placement professional are made available on request.
- We carry our own E&O coverage and name your GP as additional insured on any mandate exceeding $100M target raise.
Who this is built for
The model lands best with PE firms in one of three positions:
- Emerging managers raising Fund I, II, or III who need institutional coverage they can't yet hire for, and who can't justify a third party placement agent's 2 to 3% fully loaded cost.
- Established mid market GPs who want to expand LP base into family office, international, or non US institutional pools without standing up a new IR vertical.
- Active deal shops running frequent co invest syndications who need an on demand placement bench rather than a permanent capital markets team.
It is not a fit for mega funds with-fully staffed in house capital formation teams who treat all LP relationships as proprietary. We are explicit about that upfront.
Frequently asked questions
Do your brokers represent Keystone or our GP to LPs?
Your GP. From the first email to the close call, every LP sees your brand, your senior partner, and your fund documents. Keystone operates as a white labelled extension of your IR team.
How is the 25% fee paid, on commitment or on called capital?
On commitment at close, consistent with standard placement agent practice. For co invest syndications it is paid on the equity actually drawn at deal close.
What if a Keystone sourced LP doesn't commit to this fund but commits to the next vintage?
Standard tail: 12 months from introduction. If an LP we introduced on Fund III commits to Fund IV within 12 months of intro, the 25% fee applies to that commitment. Beyond 12 months the relationship is fully yours.
Can we use Keystone's platform without embedding a broker?
Yes, we offer software only access for GPs who want the LP intelligence layer but already have IR headcount. Pricing is separate from the embedded model. Talk to us about either.
Do you cover co invest and GP led secondaries?
Yes. The embedded model works equally well for fund mandates, single asset co invest syndications, continuation vehicles, and GP led secondaries. Pricing structure is identical.
How fast can a broker be embedded?
Typical kickoff is 5 to 10 business days from signed engagement, dependent on conflicts clearance and fund specific licensing. Rush kickoffs are possible for live co invest deals.
Is there a minimum mandate size?
We are most efficient on funds between $50M and $2B target raise, and on co invest syndications between $10M and $250M. We run smaller mandates where there is a clear path to follow on work.