Finn Dixon & Herling LLP has named partner Claire Stevens chair of its Investment Management practice, placing an 11-year veteran of the firm in charge of the group as private fund managers navigate shifting fundraising conditions, increased secondary-market activity and evolving regulatory requirements.
Stevens will oversee the continued development of the practice, which advises investment managers, private fund sponsors and investors throughout the lifecycle of their businesses. Her appointment is also part of the firm’s broader effort to develop its next generation of leadership and expand its work with the private capital market.
Stevens focuses on capital raising and regulatory matters for investment advisers, particularly the formation of private equity, venture capital and hedge funds. Her work covers private funds and special purpose vehicles, fundraising, investor negotiations, investment adviser registration, regulatory compliance and examinations, as well as investment management and sub-advisory arrangements.
She also represents institutional investors, family offices and funds-of-funds in investment transactions.
“Claire brings a combination of technical knowledge, sound judgment, creative problem-solving, and a deep understanding of the businesses and legal needs of our investment management clients,” Managing Partner Christopher Craig said. “She has been an integral part of this practice since joining the firm and has developed strong relationships with clients and colleagues.”
Finn Dixon’s Investment Management practice works with both established asset managers and emerging sponsors. Its clients range from managers launching first-time vehicles with less than $25 million in assets under management to sponsors operating flagship funds with billions of dollars in net asset value.
The group advises on fund structuring and formation, offering and organizational documents, market terms, investor negotiations and side letters, management company and general partner arrangements, regulatory compliance and ongoing governance.
Its attorneys also work with Finn Dixon’s Tax, Debt Finance, Employment and Bankruptcy practices, allowing the firm to address legal issues that emerge as investment platforms expand and transactions become more complex.
Stevens takes over the practice as private capital firms contend with changes across several parts of the market. Finn Dixon highlighted the expansion of secondary transactions and continuation vehicles, increasingly sophisticated co-investment structures, greater family office participation and the use of more specialized fund structures in a challenging fundraising environment.
Continuation vehicles, in particular, have become another tool for sponsors seeking to retain assets beyond the life of an existing fund while providing liquidity options to investors. Those transactions can create additional legal and governance considerations around valuation, economics and alignment of interests.
Co-investments have similarly become more complex as institutional investors and other limited partners seek opportunities to invest directly alongside fund sponsors. Finn Dixon advises on the governance, economics and transaction structures associated with those arrangements.
The firm is also seeing increased activity from family offices seeking both direct and indirect exposure to private investments through fund commitments, co-investments and customized structures.
“Our group has always been focused on understanding our clients’ businesses, not simply the legal issues in front of them,” Stevens said. “As the private funds market continues to evolve, we see significant opportunities to build on that approach, deepen our existing relationships, and expand the ways in which we support sponsors and investors.”
Partner Zachary Moore said the industry is being shaped simultaneously by growth in continuation funds and secondary transactions, new fund structures, regulatory developments, consolidation and new entrants across private equity, private credit and venture capital.
Under Stevens, Finn Dixon plans to continue investing in its investment management capabilities while maintaining a partner-led approach. The practice will focus on clients launching funds and investment strategies, raising and deploying capital, responding to investor expectations and addressing regulatory requirements as their businesses develop.
Stevens also serves as co-chair of Finn Dixon’s Women’s Initiative Network. She earned her J.D. from Fordham University School of Law, where she was a member of the Fordham Law Review, and graduated magna cum laude from Marist College with a bachelor’s degree.
Founded in 1987, Finn Dixon & Herling focuses on middle-market private equity and M&A transactions, private funds, complex litigation and government investigations. Stevens’ appointment gives the firm new leadership for a practice it sees as increasingly important to its broader relationships across the private capital ecosystem.