On March 25 and 26, 2014, at the Princeton Club in New York, Financial Research Associates held the most recent edition of its annual Hedge Fund Due Diligence Master Class.  This article summarizes a series of panels at the event focusing on operational due diligence from the investor perspective.  In particular, this article covers seven categories of “deal breakers” that investors can discover in the course of operational due diligence (ODD); a three-part framework for thinking about manager liquidity; six categories of people that should serve on a hedge fund manager valuation committee; five best practices for institutional investors that elect to conduct due diligence on their own, without a dedicated ODD team; how investors can work with consultants to conduct ODD; and the three phases of on-site ODD visits.  Prior articles in the HFLR covered an overview presentation at the same event, and another series of panels focusing on operational due diligence from the manager perspective.  See “Evolving Operational Due Diligence Trends and Best Practices for Due Diligence on Emerging Hedge Fund Managers,” Hedge Fund Law Report, Vol. 7, No. 15 (Apr. 18, 2014).