, Columnist
Private Equity's Gravity-Defying Fee Bonanza
Heavy demand props up costs while everyone else has to cut.
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One corner of the investing world is surprisingly immune to the widespread trend of shrinking management fees: private equity.
Despite lower fees at firms from BlackRock Inc. to Brevan Howard Asset Management LLP and across most types of funds, many private equity managers are charging investors roughly the same amount as they were several years ago. This was on display this week in a Bloomberg News article by Janet Lorin in which Yale University’s endowment discussed how it negotiated management fees and terms.