New York, April 14, 2021 – Prosek Partners, a leading independent public relations and financial communications and marketing firm, today released the results of a survey on the future of the private markets Annual General Meeting (AGM) after 2020 saw the rapid shift to a virtual model.
The survey of 58 General Partners (GPs), predominantly between $2 billion and $50 billion in assets under management, found that firms will continue to embrace a hybrid model for years to come. 86% of respondents say they will consider incorporating pre-recorded or live virtual content even after returning to a regular cadence of in-person meetings.
“Learning to effectively engage new and existing investors in a virtual world was one of the biggest concerns for the private equity industry last year, and GPs are clearly embracing a modern approach moving forward by maintaining the hybrid AGM even as in-person meetings become viable,” said Mariel Seidman-Gati, Vice President at Prosek Partners.
Virtual Limited Partner (LP) Networking Falls Away in 2021
The survey indicated a desire by private markets managers to return to in-person networking with investors as soon as it is safe, with 30% of respondents planning to host small, in-person events in 2021, and 56% saying they don’t plan to convene LPs virtually or in person.
“It’s clear that there is no substitute for in-person relationship building, evidenced by the fact that most firms are leaving virtual LP networking events in the past. Fund managers appear eager to begin reintroducing face-to-face engagement opportunities, even if on a smaller scale,” said Seidman-Gati.
Investment in Production Value Ramps Up
GPs leaned on outside production partners in 2020 to bring the offline online, investing in video production, live streaming and event platforms, executive presentation coaches and messaging experts, among others. That high level of spend will continue and even increase as managers seek to create compelling experiences for their investors in 2021, with 41% of respondents expecting to increase their AGM budgets this year and 50% planning to spend around the same as in 2020.
These expenses have proved valuable beyond the events themselves by creating opportunities to engage investors, employees and other stakeholders. In 2020, 60% of GPs put their meeting content to use in LP-only data rooms, and 36% repurposed it for use on their website, social media or employee communication channels or leveraged it for media or thought leadership.
About Prosek Partners
Prosek Partners is among the largest independent communications and marketing firms in the U.S. and one of the few domestic, mid-size firms that offers global capabilities through its London office and international network. Specializing in providing a full range of communications solutions to financial and professional services companies, the firm delivers an unexpected level of passion, creativity and marketing savvy. Prosek Partners’ “Unboxed Communications” approach brings breakthrough ideas to every client engagement. Services include digital and traditional media relations, financial communications, investor relations, transaction services, crisis communications and issues management, digital marketing, design and creative services, content creation, publishing, media training and branded entertainment. The firm has been named an Inc. 5000 Fastest-Growing Company, a “Top Place to Work in PR” by PR News, A New York Observer Power PR firm, and a Holmes Report “Best Agency to Work For” and “Agency of the Year.” Prosek Partners is a certified Woman-Owned Business. For more information about Prosek Partners visit www.prosek.com or follow the agency on Twitter at www.twitter.com/prosekpr.