Fees & Expenses

Two European LPs have already defaulted on capital calls, and more are rumored, as LPs get hit with a one-two punch of large, often early capital calls and drying up distributions.

Lawyers from Paul Weiss pinpoint the areas of a private equity firm operations that may need to be adjusted to account for the coronavirus outbreak, including fund documentation, valuation and banking relationships.

Industry lobby fights back on Maryland tax bill; Mid-market firm makes a bevy of promotions; Blackstone warns of coronavirus risk to funds.

The state's proposal to add a surcharge to management fee income and carried interest has the industry there scrambling to kill the measure.

Maryland’s proposed tax on management fees and carry may be more tactically sophisticated (if disagreeable to business) than they’re getting credit for.

The 40-year private equity veteran tells delegates at the CFOs & COOs Forum 2020 about Thoma Bravo’s meteoric scale-up and why he foresees private equity fees taking a hit.

As noted at the CFOs & COOs Forum (and independently reported by Buyouts on Friday), GPs are coming up with creative ways of avoiding a tax hit on carry earned for investments held under three years. Good timing, given the increased velocity of exits.  

Thoma predicts the decline of carry and fees; GP-led secondaries requires innovation to grow; LPs aren't as confident as you are about your cyber chops; CFOs consider push into daily IRR, even as they drag feet on GIPS.

The Thoma Bravo co-founder stays upbeat despite rising political risks, but has some warnings for the private equity industry.

LPs hate fees (even more than last year); 2020: an election year with a lot of regulatory initiatives.