News & Analysis

DATA SNAPSHOT: A fee storm coming?

Private equity fees – both in terms of size and transparency – are becoming more of a bugbear for investors, according to PEI's upcoming LP Perspectives 2020 report.

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Increased investor scrutiny of fees is likely to continue, according to data from sister publication Private Equity International.

Every year, PEI Media’s research and analytics team gathers views from a global cross section of investors in private equity funds for this report. The topics covered are wide-ranging, including everything from performance expectations to due diligence matters. The full survey results and analysis will be available to subscribers of Private Equity International in December.

Most limited partners have asked their GPs for more disclosure and transparency around fees, the survey reveals, while a large majority are finding PE fee levels difficult to justify to others in their organization. CFOs can expect more investor inquiries.