In this latest paper, Watson Wyatt, suggests some changes to redress the imbalance in private equity fees including changing the basis on which a manager sets its management fees; and that GPs should consider phasing in management fees over the investment period to reduce the significant fee drag from paying on commitments early in the life of a fund.
Nest, the largest workplace pension in the UK, says that private credit managers who prioritise institutional clients will be more favourably viewed. The £61 billion ($82 billion) fund has awarded a £450 million ($605 million) US direct lending mandate to Crescent Capital this month, citing the manager's institutional-client-first approach as a key attraction.
The Third Swedish National Pension Fund has cut back on hedge fund managers, citing cost, poor returns, and difficulty pinpointing the source of alpha for managers that have done well.
PGGM's Jaap van Dam and Kempen's Lars Dijkstra say that asset owners with long-term horizons should look for managers who can analyse industries and companies to find intrinsic value.
You can't beat the market if you are the market. That's reality for Japan's behemoth pension fund; therefore, it looks to improve overall returns by engaging and investing with an ESG focus.
EDHECinfra proposes industry standard benchmarks for infrastructure, based on a framework for measuring risk-adjusted performance and the results from its survey of investors.
The $233.3 billion pension fund, CDPQ, is looking to expand its sizeable private-equity allocation with moves into emerging markets and unconventional deals. Flexibility is essential.
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