Glossary
Capital commitment
The total amount an LP agrees to invest in a fund over its life, drawn down through capital calls as the GP needs it.
In practice
Commitment determines each LP's pro-rata share of calls, often the basis of management fees during the investment period, and voting thresholds under the LPA.
In FUN/D
Commitments are the starting point of every investor record in FUN/D.
Related: Unfunded commitment · Capital call · Management fee · full glossary
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