1. Why do funds of funds exist? Why does GSA have different investment strategies / allocation practices with respect to individual private equity funds? Can this practice consistently add value to GSA clients' investments?

2. Based on your analysis above, evaluate the three alternative strategies for GSA mentioned at the end of the case. Make a final recommendation on which strategy should be pursued. In your evaluation, you must identify, consider and base your final recommendation on the following: (a) the most significant strengths of GSA, (b) any potential weaknesses and (c) current and future opportunities and threats in the general context of the capital gap and the role of fund-of-funds in bridging the capital gap. You can use the benefits of hindsight, including your understandings of recent trends in the financing of entrepreneurial investments.