Private equity co-investing has evolved from a niche institutional strategy into an increasingly important part of the private markets ecosystem. As allocators seek greater portfolio customization, fee efficiency and direct exposure to private equity value creation, co-investments have become a growing area of focus.

In this episode, Alan Flannigan and Andrew Korz sit down with Michael Chen, Co-Head of Direct Equity Investing at Future Standard, to discuss how the co-investment market works, why sponsors offer co-investment opportunities, and what separates successful co-investment platforms from the rest.

The conversation explores the role of GP relationships, the unique dynamics of middle market co-investing and how allocators are using co-investments alongside primary funds and secondaries to build more diversified private equity portfolios. As the co-investment market continues to grow, understanding how these opportunities are sourced, evaluated, and accessed has become increasingly important for both institutional and private wealth investors.

• Co-investing provides direct exposure to private equity deals, often with lower fees than traditional fund investments.
• Strong GP relationships and the ability to underwrite opportunities quickly are critical to building a successful co-investment platform.
• The middle market offers a broad and fragmented opportunity set that make it a fertile hunting ground for co-investments.
• Co-investments can complement primary funds and secondaries within a diversified private equity program.
• Evergreen vehicles are increasingly using co-investments to enhance return potential and portfolio construction flexibility.
• The co-investment market has expanded significantly and may continue to grow alongside the broader private equity market.

Alan Flannigan: Welcome to another episode of Can We Talk in Private, the podcast where we discuss all things private markets and share the latest in Future Standard thinking. Today's episode will be focused on private equity co-investing, a strategy within private equity that is increasingly in focus both for institutional allocators and as a strategy vertical within evergreen offerings focused on the individual investor.

What is co-investing? What are the potential benefits to a private equity allocation? And how do you build a successful co- investing platform, one that's capable of consistently delivering both unique access and differentiated performance? All questions we cover today on another episode of Can We Talk in Private.