IC Memo (Investment Committee Memo)
An IC memo is the internal document used to recommend and justify an allocation for investment committee approval.
Definition
Definition An investment committee memo summarizes the strategy, team, track record, risks, terms, portfolio role, diligence findings, and recommendation. It is designed for decision-makers who need a clear view of why the allocation fits policy constraints and what could go wrong. For institutions, the IC memo is also a governance record. Allocator Context IC memos reflect how allocators think. They emphasize mandate fit, downside risks, liquidity constraints, concentration impacts, and terms defensibility. A manager that provides clear, verifiable diligence materials reduces the burden on the investment team writing the memo and accelerates decision cycles. Decision Authority The IC memo is the mechanism by which authority is exercised. Without an IC memo—or without strong inputs—many institutions cannot approve even if the investment team is supportive. Why It Matters for Fundraising Managers who understand what must go into an IC memo can make fundraising materially more efficient. Providing structured materials, clear risk framing, and consistent terms helps the allocator “sell” the recommendation internally. Key Takeaways The IC memo is the approval instrument Strong inputs accelerate decisions Risk, liquidity, and fit drive committee thinking Managers can reduce friction by packaging diligence in IC-ready form