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.
A concentrated bet on fewer, better GP relationships is paying off for one of Australia's largest superannuation funds. Built on selective manager and deal selection rather than a broad roster, the A$112 billion ($78 billion) Rest Super delivered private equity returns more than double the peer average last financial year, as the fund proactively courts top-tier PE firms instead of waiting to be approached.
We first published this document in November 2005 during a period of healthy markets and around the peak of the US housing bubble. The main conclusion from the note was that we had just been through an unparalleled period of returns in all asset classes. mrec4inarticleinline Sponsored Content scnative1 scnative2 scnative3
In early 2007, we started advising clients that we thought the next major investment opportunity would be in distressed securities. As the credit crisis has unfolded and the first ripples of this tidal wave have appeared, we have often been asked for our views on how to structure and fund these types of investments mrec4inarticleinline
The unwinding of several high profile infrastructure funds in the recent past has prompted questions as to the performance of infrastructure assets/investments and the impact of the current credit markets, on the outlook for the sector. Mercer remains positive on the long-term fundamentals for the infrastructure sector, especially in the emerging markets. Moreover, we believe
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