Based on the search results, here are some specific risk management procedures that family offices should look for in private debt managers:
- Adequate risk management framework: Family offices should ensure that the manager has a robust risk management framework in place to manage credit risk, liquidity risk, and interest rate risk 1 2 .
- Regular assessments: Family offices should ensure that the manager conducts regular assessments of their risk management plan to ensure that it is up-to-date and effective 1 2 .
- Transparency: Family offices should ensure that the manager is transparent about their investment process and portfolio holdings 1 .
- Quality of partners: Family offices should ensure that the manager’s partners, including their back and middle office operations, are of high quality and do not expose the manager to additional risks 3 .
In summary, family offices should look for private debt managers who have an adequate risk management framework, conduct regular assessments, have a clear understanding of the risks, have expertise in the private debt market, are transparent, and have high-quality partners.