Pressure points

To get a better sense of what the major sticking points are at the moment when GPs and LPs sit down across the negotiating table from each other, parent company PEI recently surveyed LPs to ask about their current perception of certain fees and terms.

The headline answer was perhaps a predictable one: overall fees are still by far the most significant aspect – and probably the starting point – of any GP/LP negotiation. Elsewhere the data offers insights on preferential terms for large investors, separate accounts, zombie funds, waterfall arrangements and carried interest. 

To see the results of the survey click HERE.