An influential group representing some of the private equity industry’s largest backers has sounded the alarm about the risks to institutional investors from a rush of retail money into the sector.
The number of deals needed to deploy wealthy individuals’ cash could pull managers’ attention away from investing the capital of pension plans and endowments, the Institutional Limited Partners Association warned.
Fees on offer from evergreen funds, a newly popular type of vehicle suited to retail investors, could encourage buyout firms to prioritise the