Background to the business Investcorp Absolute Return Investments LLC (“IARI LLC” or the “Firm”) was organized in 2019 and forms part of a 50/50 joint venture (“JV”) created between Investcorp S.A. (“I.S.A.”, and together with its affiliates and subsidiaries, “Investcorp”) and Tages S.p.A (“TS”, and together with its affiliates and subsidiaries, “Tages”). Investcorp, founded in 1982, is a leading, global manager of alternative investments that seeks to generate value through a disciplined investment approach in six alternative asset classes: private equity, real estate, absolute return investments, infrastructure, credit management, and strategic capital. Tages is a leading European alternative asset management firm, focusing in four alternative asset classes: absolute return and multi managers solutions, renewable energy infrastructures investments, private equity, and distressed debt. The Firm provides investment management and advisory services to private investment funds and customized managed accounts established for institutions and corporate structures. In addition, the Firm provides investment management services to such funds and accounts that were formerly clients of Investcorp Investment Advisers LLC and Investcorp Investment Advisers Limited, each an indirect wholly-owned subsidiary of I.S.A., whose investment mandates were assigned to the Firm as part of forming the JV. Ownership Structure Each of I.S.A and TS hold a 50% ownership interest in Investcorp-Tages Limited, a private company limited by shares incorporated under the laws of England and Wales (the “JV Holding Company”). The JV Holding Company is the direct parent of Investcorp ARI Holdings LLC, which in turn owns 100% of the outstanding interests in the Firm. Overview of the Firm’s Advisory Services IARI LLC provides investment management services to pooled investment vehicles (“Funds”) and separately managed accounts (collectively the “Clients”). Each pooled investment vehicle is exempt from registration as an investment company under the Investment Company Act of 1940. The Firm’s primary strategy is fund-of-fund investment, offering a range of multi-manager solutions to its Clients. Certain multi-manager solutions are pooled funds with the ability to have multiple investors, while other multi-manager solutions are set up to enable a single investor to have its assets managed in a manner similar to other multi-manager solutions. Employees or affiliates of IARI LLC that meet investor qualifications can invest in the Funds. As an investment adviser to the Funds, IARI LLC typically engages in one or more of the following activities:
• Identifies and implements investment opportunities for Funds;
• Performs monitoring and oversight of Fund investments;
• Makes investment decisions on behalf of Funds to invest or redeem investments; and
• May engage in occasional hedging transactions of currencies and/or certain market exposures for certain Funds. IARI LLC may retain other consultants and advisers as it deems desirable for the performance of its management responsibilities. Certain Funds may be organized in a master-feeder structure. Other Funds sponsored or managed by IARI LLC, or their affiliates and may invest all or a portion of their assets in a master fund on different terms or conditions than those available to the feeder funds. Certain Funds are divided into different classes, sub-classes and/or series of shares in order to reflect different rights, obligations, privileges and other terms, which may include without limitation different trading strategies, priorities in redemption (and/or liquidation), and different fee obligations. Certain Funds may issue additional classes or series of shares from time to time on the same or different terms from existing classes. IARI LLC manages all Funds in a manner consistent with their investment advisory agreements, operating agreements and offering documents, including any investment restrictions specified therein. The Firm manages its separately managed accounts in accordance with negotiated guidelines and restrictions regarding investments and other investment criteria. These guidelines and restrictions are reflected in the investment management agreement between the Firm and the separately managed account client.
• Multi-manager solutions The Funds include "multi-manager solutions," which invest their assets in other funds (“Underlying

Funds”) (which are typically not U.S. registered investment companies) managed by the Firm and/or unaffiliated and/or affiliated investment managers or allocate assets to managers (“Underlying Managers”) to manage in either a separately managed account or in a separate investment vehicle (such Underlying Funds and Underlying Managers are sometimes referred to herein as the "Underlying Investments"). With respect to certain multi-manager solutions, IARI LLC or an affiliate directly manages a portion of such Funds’ assets rather than allocating the assets to Underlying Investments. Within IARI LLC’s multi-manager solution products, IARI LLC generally invests in a diversified group of Underlying Investments, which in turn invest or trade in a wide variety of securities and other instruments, including, but not limited to, equities (including private equity) and fixed income securities, indexes, ETFs, depository receipts, warrants, rights, currencies, commodities, futures contracts, forward contracts, swaps, options and other derivative instruments, all of which may be listed or unlisted, rated or unrated, distressed or publicly or privately issued. For multi-manager solutions, IARI LLC, either on its own or through a sub-adviser selected by IARI LLC (which may be an affiliate of IARI LLC), determines which Underlying Funds or Managers are most suitable for the Funds, to make investments at the time and in the amount deemed appropriate, to monitor investments on an ongoing basis and to cause the Funds to make adjustments in their investments, or to sell or redeem such investments and to make new investments. Please see Item 8 which describes the investment decision making process in greater detail. In addition, IARI LLC may from time to time implement specific direct hedging transactions to mitigate certain risks in the multi-manager solutions. IARI LLC may engage in these types of transactions when, for example, IARI LLC’s and its affiliates’ near-term view on the markets cannot be implemented through rebalancing, given the notice periods and redemption frequencies for Underlying Investments.
• Special Opportunity Portfolios Certain multi-manager solutions invest, through one or more Underlying Investments, in an opportunistic portfolio based on market conditions and investment cycles and have a target investment horizon ranging from approximately two to ten years.
• Systematic Strategies As noted in Item 2, the Firm has onboarded a new client since its last annual filing of the Form ADV2A. The investment objective of this client mandate entails investment in systematic strategies, involving either bank algorithms or internal algorithms. Non-Discretionary Investment Advisory Services In addition to the investment management services IARI LLC provides to funds and separately managed accounts, IARI LLC also provides non-discretionary investment advisory services to clients, although it currently does so on a limited basis. In such capacity, IARI LLC performs one or more of the following services:
• preliminary and ongoing reviews of client portfolios and investment manager selections;
• investment manager sourcing support; and/or
• periodic client discussions regarding the economic outlook of strategies. Additional services may be provided on an ad hoc basis, including documentation of PPM reviews, preparation of qualitative reports concerning potential investment managers, onsite investment manager due diligence, due diligence questionnaire reviews, and preparation of industry or economic reports. The exact services provided are subject to negotiation with each client on a case-by-case basis. When IARI LLC serves in a non-discretionary investment advisory capacity, the decision to engage any investment manager to manage the client’s assets or to implement any of IARI LLC’s advice resides solely with the client. As of December 31, 2022, IARI LLC has one non-discretionary investment advisory relationship and assets related to this client are not counted towards the Firm’s regulatory assets under management. Assets Under Management As of December 31, 2022, IARI LLC’s discretionary regulatory assets under management (”RAUM”) were $1,255,955,637. This excludes investments made by one Firm-managed Fund into another Firm-managed Fund to avoid double counting of assets. The Firm does not have any non-discretionary regulatory assets under management.