Stuck positions
What does it mean when an LP interest has no secondary bid?
No secondary bid means nobody in the market will price your LP interest, leaving it effectively illiquid even though it still appears on your balance sheet. It's one of the defining signs of a zombie LP: fund life over, GP non-responsive, and secondary market silent.
A zombie LP interest sits in a fund past its stated term where the GP isn't winding down in any meaningful way, distributions have stalled, and there's no credible secondary bid. The interest is still marked somewhere. It just isn't liquid.
The large secondaries funds won't fill that gap. They underwrite books and relationships. A solitary small LP line with messy documents or an Asia GP they don't cover fails their process before pricing even starts. The gap between that process and your position is where boutique single-name counterparties and workout mandates sit.
If there's genuinely no path to recovery, we say so. Sometimes the honest answer is that the position is worth a dollar and a clean loss is the right move. What we can do first is tell you what the position is actually worth today, what it might be worth with effort, and what the path between those two numbers costs.