Don’t greenwash: fund managers must be careful how they talk about ESG
To greenwash, or not to greenwash? That is the question. Green, sustainable, ethical, responsible, environmentally-friendly… these are all words used by managers to describe their funds. As both investors and the wider world become increasingly concerned with sustainability, it is tempting to exaggerate a fund’s ESG credentials to attract more capital. This, however, is a…
ESG regulatory developments: what’s happening and what to do
While 2022 threatened to become another lost year in the fight against climate change, it has turned out to be the most consequential year so far, in terms of US ESG regulatory developments. Not only has President Biden signed into law the Inflation Reduction Act but, earlier this year, the Securities and Exchange Commission (SEC)…
Private equity fee validation: Turning on the lights
For both U.S. and European allocators to the private equity asset class, it is increasingly clear that establishing a fee validation program can be a very complex undertaking. “Can i get some help over here?”… This could very well be the rallying call for LPs as the face challenges in unraveling their private equity fees….
The revolution of 2016: what have we learned?
2016 has seen a dizzying succession of electoral earthquakes which have made it the most revolutionary year since the fall of the Berlin Wall. To borrow Tony Blair’s words from October 2001: – The kaleidoscope has been shaken, the pieces are in flux. Here are six lessons that asset managers and investors can take away…
Co-investments: Eight-point health check for investors
Co-investments are a good way for investors to get additional, selective exposure to private equity assets on a lower-cost basis. But, economics aside, here are eight more things prospective co-investors should consider. Co-investments have long been a feature of the private equity buyout market. GPs typically allow themselves some leeway to choose and bring co-investors…
The new year; (More) new guidance
New industry guidance increases pressure on managers to provide investors with more information about their funds, especially fees and expenses. But how much will really change? New Professional Standards Handbook InvestEurope, the trade association formerly known as the EVCA, late last year published the latest edition of its Professional Standards Handbook. The Handbook covers the…
Fees and offsets: Lessons learnt
Regulators are gunning for fund managers over opaque or dubious fees and expense arrangements. How can managers and investors get ahead of the game? With most of the new financial regulations on the alternative assets sector having come into effect, regulatory agencies are now devoting more time to scrutinizing the newly-regulated industry’s activities and practices,…