Inconsistent Cash GenerationRepeated negative operating and free cash flow, including in 2025, indicates accounting profits do not consistently translate to cash. This forces reliance on asset disposals or external funding to cover management fees and expenses, raising execution and liquidity risk if exit markets slow.
Multi-year Volatility And Prior LossesHistoric swings and large losses through 2022–2023 undermine confidence in earnings stability. For an investment company, such volatility complicates capital planning, investor retention and forecasting of returns, and increases the risk of capital impairment during adverse private‑market cycles.
Eroding Equity Base Since 2021A downward trend in equity since 2021 signals erosion of the capital buffer. A smaller equity base limits capacity to make new commitments, raises concentration risk in remaining holdings, and reduces resilience to markdowns or prolonged private‑market dislocations.