Over the past few years investors and regulators have been looking closely at fees and expenses charged by private equity firms to their limited partners.
To help funds comply with this increased push for transparency, ACG and its Private Equity Regulatory Task Force, known as PERT, are developing a set of industry-wide best practices that address fees and expenses, among other issues.
The U.S. Securities and Exchange Commission has signaled its expectations through recent enforcement actions against private equity firms with respect to expense disclosure, conflicts of interest and allocation of co-investments. Meanwhile, the SEC Office of Compliance Inspections and Examinations, or OCIE, has named fee and expense disclosure for private funds among its 2015 and 2016 examination priorities. […]