The updated fee structure introduces a tiered model where transaction costs decrease as deal sizes increase, set at 5 basis points for portions exceeding $50 million. By moving away from fixed-rate models, the firm aims to reflect the standardization of secondary market execution. This adjustment leverages the platform’s digital-native infrastructure, which connects buyers and sellers directly to bypass traditional intermediary friction.
Palico Scales Secondary Market Platform With New Fee Structure
As secondary market transactions grow in complexity and volume, Palico is shifting its operational strategy to accommodate larger deals. The FINRA-regulated Alternative Trading System has unveiled a tiered fee schedule, a new price indicator tool, and a brand refresh to facilitate more efficient, high-value private fund trades.
Beyond pricing, Palico is deploying a price indicator tool to provide participants with directional estimates, intended to improve market transparency. Founder Antoine Drean noted that the firm’s evolution mirrors the broader transition of the LP-led secondary market from a relationship-driven, manual process to a regulated, digital-first environment. The platform currently maintains a network of over 1,000 secondary buyers, offering access to pre-vetted deal flow while maintaining seller anonymity until a binding bid is accepted.
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