A clawback provision in alternative investments allows limited partners (LPs) to reclaim a portion of the general partner's (GP) performance fee if the GP accrues an incentive fee on unrealized gains that are later reversed. This ensures that LPs are not unfairly charged for performance that is not ultimately realized. Options A and B are incorrect because the clawback provision does not pertain to recovering performance losses or the GP reclaiming distributions from LPs.