SOF III - 1081 Southern Financial LLC Section 5: Secondary Opportunities Fund lit Secondary Opportunities Fund III, LP Exhibit 16: Due diligence process combines top down asset selection with bottom-up pricing°. Investment requirements • Alvany of value in identilabit ellactne assets • Reasonable leverage al ponlo o company lova • Attractive -er• through' ere, mutest* a seconcary pacing Target 90 GPs and 250 funds • Of f die-shelf pnang for 70• funds • Adcttional 60 • raga pionty funds Extensive private equity database 4:) GPil 4 BOO funds Top-down selection filters Deal Execution Investment requirements • Quality MVOS • GP!tP alignmot of • Leveraged relationships web 08 PE r onasche Ranh pletfornit Rigorous value-focussed, asset-by-asset bottom-up due diligence • 0perehonal Inaba and rata ask analysis (*teeth underlying path:So corpse./ • Analysis of IM impact of tams and swcta• on vela, * Information is as of September 30. 2013. • Ranh. of fund and port ftho corrtaany management • Cash flow anateus al pen folio level • Cntical assestmer4 of the prospects tor Scpckty Confidential Private Placement Memorandum 39 CONFIDENTIAL — PURSUANT TO FED. R CRIM. P. 6(e) DB-SDNY-0108834 CONFIDENTIAL SDNY_GM_00255018 EFTA01451967