ILPA DDQ

Even though strictly speaking this fundraising DDQ (which includes a set of questions that LPs should ask GPs) is not a reporting framework or standard, we thought it would be worth mentioning it given that it seems to be commonly used by members.

The ILPA DDQ 2.0 and Diversity Metrics Template are intended to standardise the key areas of inquiry posed by investors during their diligence of managers and to provide a framework for ongoing monitoring of progress related to DEI. Both documents were updated throughout 2021.

Given continued industry focus on ESG and DEI, the respective sections in the DDQ 2.0 have been adapted to better reflect latest market practice. For example:

The updated ESG section in the ILPA DDQ 2.0 draws on an updated version of the PRI Limited Partners Private Equity Responsible Investment DDQ.
The updated DEI section in the ILPA DDQ 2.0 includes several enhancements that align with prevalent areas of LP inquiry specific to DEI.

Similarly, the updated version of the Diversity Metrics Template features several notable enhancements.

ILPA’s membership is predominantly American, with 60% of its members operating primarily in the United States. These institutions represent nearly 2mn USD of private market capital, with its network of over 5,000 professionals being responsible for 50% of global institutional private equity AUM.

Key facts
Year	Updated in 2021
Region	International
Scope of Information	Environmental, Social, and Governance
Industry Agnostic or Specific	Industry Agnostic but with flexibility enough to cover the needs and particularities of specific industries
Target Audience	GPs and LPs, especially investors
Approach to Materiality	Enterprise value creation; significant impact on environment, people, and economy
Time Horizon	Short- and Medium-term
Key Outputs	Detailed overview of a GP’s performance across DEI, as well as in the areas of Environmental, Social, and Governance