Idle capital has a cost. We build the framework that closes it — across every stage of the capital lifecycle.
Built on Charles Schwab custody. Designed for institutional discipline.
Between every commitment and capital call, between every exit and redeployment, between vehicles and opportunities — capital sits. Not earning. Not working. Just waiting.
The discipline that sponsors apply to deals rarely extends to the capital lifecycle around them. That gap has a cost.[1]
Capital committed but not yet deployed sits outside any structured framework. ~40% of committed capital is idle at any moment.[1]
Post-exit proceeds often wait weeks or months for the next vehicle. That window is rarely managed with the same rigor as the deal itself.
LP capital between fund cycles and the capital between deal closings both represent structural idle periods. Each one is an optimization opportunity.[2]
Most sponsors capture yield only during active deployment. HMG builds the structured layer that works across every phase — commitment window, deployment cycle, exit window, and the gap between vehicles.
Capital is committed but uncalled — typically 12–24 months idle per cycle. HMG deploys into short-duration T-bills and FDIC-insured instruments, returning yield without lock-up.
As capital is called, HMG ladders maturities to match your deployment timing. Uncalled portions stay liquid and earning — not sitting in a sweep account.
Post-exit distributions accumulate before reinvestment decisions — often 6–18 months. HMG captures yield on every dollar in the gap rather than letting it sit idle.
The period between fund closings and new vehicle formation. Capital needs a structured, liquid home. HMG provides the infrastructure while you prepare the next vehicle.
Across a typical sponsor's committed capital, idle distributions, and between-vehicle windows, the aggregate gap is rarely trivial. A disciplined framework closes that gap.
The analysis starts with a simple question: how much capital is sitting idle across your commitments, distributions, and vehicle transitions right now?[5]
Gross yield differential before HMG fee. Illustrative based on current blended rate structure and typical sweep rate. Actual results vary by structure and market conditions.
What does idle capital actually cost a sponsor?
| Sleeve | Liquidity | Indicative Yield |
|---|---|---|
| Same-Day Liquidity[5] | Daily | ~3.70%vs. 0.15% typical sweep |
| Short-Term (1–6 mo) | 1–6 months | ~3.80% |
| Intermediate (3–12 mo) | 3–12 months | ~4.35% |
| Blended Framework | Laddered | ~3.93% |
Rates reviewed quarterly — next review April 2026
| AUM Tranche | Annual Fee |
|---|---|
| First $10M | 50 bps (0.50%) |
| $10M – $50M | 30 bps (0.30%) |
| $50M+ | 20 bps (0.20%) |
| Over $100M | Negotiated |
Fee assessed on assets under framework. For most sponsors, net yield after fee remains meaningfully above unmanaged rates — often by a factor of 5–10×.
Illustrative only. Gross yield at 3.93% blended vs. 0.15% sweep. HMG fee: 50 bps on first $10M, 30 bps on next $40M, 20 bps above $50M. Actual results vary by structure and market conditions.
Whether you're raising your first fund or managing a scaled platform, the framework adapts to the shape of your capital.
Sponsors managing a single deal or fund with capital in various stages of commitment and deployment. The framework creates structure where there typically isn't any.
Managers building their first institutional platform. Treasury discipline becomes a signal of operational maturity — often more visible to LPs than it should be.
Multi-fund, multi-vehicle platforms with significant aggregate idle capital across commitments, distributions, and transitions. The opportunity is largest here.
Clarity on what Hilltop Management Group is — and what it isn't — matters. The framework is additive to what you already do.
Danny Fink founded Hilltop Management Group to make institutional treasury discipline accessible to the sponsors who need it most — but rarely have a dedicated function for it. The framework is direct, practical, and built around how private capital actually moves.
[ Update with Danny's professional background — prior roles, relevant experience in treasury, finance, or private markets, any credentials or institutional affiliations. This is the most-read section by first-time visitors. ]
HMG operates exclusively with private equity and real estate sponsors. Based in Milwaukee, Wisconsin.
No. Daily liquidity is maintained across all structures within the framework. Your capital remains fully accessible for deployment, distributions, LP returns, or any other use — structured, not locked.
No. HMG is an additive layer built alongside your existing relationships. Assets are held in custody at Charles Schwab under your name and your control. We provide the framework and the discipline — nothing replaces or competes with what you already have in place.
For most sponsors, the incremental yield generated by the framework meaningfully exceeds the management fee — often by a factor of 5× or more. The Treasury Gap Analysis will show you the net numbers specific to your capital stack before any commitment.
The Treasury Gap Analysis is a 30-minute working session. We map your current commitments, idle windows, and deployment timeline — then show you the net yield opportunity on your specific capital stack. No pitch. No obligation. Just the numbers.
Data current as of Q1 2026. Rates and market figures reviewed quarterly.