Re-Up
A re-up is an LP’s decision to commit capital to a manager’s next fund based on performance, relationship quality, and mandate fit.
Definition
A re-up occurs when an existing LP commits to a subsequent fund raised by the same GP. Re-ups signal confidence in the manager’s execution, reporting discipline, and alignment, and they often provide a meaningful foundation for fundraising momentum. Allocator Context Allocators treat re-ups as portfolio maintenance decisions rather than “new manager” decisions, but they still require diligence updates and mandate fit confirmation. The standard of proof may be different: realized performance, team stability, and transparency become central. Decision Authority Re-up decisions may be easier than new relationships, but they still often require committee approval—particularly if commitment size increases, strategy shifts, or performance deviates from expectations. Changes in terms can also trigger deeper review. Why It Matters for Fundraising Re-ups are driven by trust, clarity, and predictability. Managers who consistently communicate, report accurately, and demonstrate mandate discipline increase re-up rates and reduce fundraising dependence on new LP sourcing. Key Takeaways Re-ups are a critical signal of allocator confidence Still subject to governance review Performance + transparency drive outcomes Strategy drift reduces re-up probability