March 2010 Issue

False rumours that Affinity plans to raise Fund IV this year indicate some positive things for Asia's private equity industry.

The country is seeking to become more aligned with global standards regarding private equity fund establishment and operation, although US firms still may be hit with a new capital gains tax on exits.

A proposed amendment to US bankruptcy rules that will be debated on Friday could force ad hoc committees of distressed investors to reveal sensitive information in bankruptcy court.

The UK’s Accounting Standards Board is reviewing industry feedback to proposed changes to the country’s generally accepted accounting principles, which if implemented would mean more reporting and disclosure work by private equity and venture capital managers.

A controversial provision that was removed from the AIFM Directive when Sweden held the EU presidency has been reinstated by Spain - prompting criticism from the Alternative Investment Management Association.

Ares Management and Freeman Spogli & Co. have signed on to New York Attorney General Andrew Cuomo’s code of conduct which prohibits the use of placement agents, in relation to fees they paid to Wetherly Capital which were used to illegally secure investments from a New York pension fund.

Registering as an investment advisor? Here's what you have to know before drafting a compliance manual.

Equity cures have become a popular mechanism for firms seeking to buy time for struggling portfolio companies, but those hoping to utilise them should expect to put up more money to reassure reluctant lenders.

The International Accounting Standards Board made statements in a recent review of its constitution that seemed to indicate that convergence was no longer its top priority.

Though the Institutional Limited Partners Association (ILPA) principles were written with private equity in mind, the guidelines may begin to influence real estate fund terms.

With some $22bn in uncalled commitments, the California pension will work to enter customised, low-fee partnerships and co-investment vehicles with select GPs.

After a difficult first close on $200 million, the firm has decided to amend the terms of its debut infrastructure fund even further from the traditional 2-and-20 private equity model.

Giving evidence to the US Senate Banking Committee, ex-Fed Reserve chairman Paul Volcker tells banks to choose between being bank holding companies and housing private equity and private equity real estate platforms.

Lawmakers in the UK have urged the British government to reject European proposals for wide-ranging regulation of the alternative funds universe as they currently stand, especially if there is no comparable legislation in the US.

Two years after the media-focused private equity firm set up a new unit to manage a portion of the New York City mayor’s personal fortune, the team managing Mayor Bloomberg’s account will spin out.

The new guidance, along with a grace period during which employers can fix documentation errors, signals a new focus on deferred compensation structures – including many popular structures used by private equity GPs.

New data security rules for business in the US state of Massachusetts go into effect on 1 March. Here’s what you need to know to prepare.

During its 2009 earnings call Kohlberg Kravis Roberts shared its outlook on fee structures, fundraising efforts, and plans for an IPO on the New York Stock Exchange.

For registered investment advisors, the question of how employees can use social networks at the office is a tricky one.

KKR and Abraaj Capital are both stepping up their efforts to improve their public image.

Thinking of doing a dividend recap? You’d better do it this year: a 2001 tax cut for dividend recaps expires at the end of 2010.

PEM spoke with Álvaro Gonçalves of São Paulo-based Stratus Group about his firm's environmental, social and governance procedures and standards.

Closing a fund was practically a herculean task in 2009. PEM gleaned key lessons from GPs and placement agents who successfully managed such feats in 2009.

Don't start the funeral for placement agents yet.

David Wanetick of valuation firm IncreMental Advantage explains the intricacies of valuing patents.

In a letter to the CEO of FINRA dated 18 December 2009, obtained by PEM, the director of the SEC's division of investment management said the SEC might create an exception to the ban for registered broker-dealers acting as legitimate placement agents, if FINRA can implement rules that would prohibit pay-to-play practices. Read the full text of the letter.