Regulation

As the public markets continue to shrink, the case for GPFG’s entry into private equity is not only one of returns but, increasingly, one of diversification.

The development comes as part of an ongoing review of certain current and former EQT employees’ carried interest taxation – in particular, whether it should be taxed as employment income.

The proposals could bring greater certainty for overseas private equity firms and ‘level the playing field’ with their Australian counterparts, according to legal experts.

Tokyo Stock Exchange reforms are presenting take-private opportunities for GPs, including KKR.

Could alternative interpretations of offshoring private equity fund structures spread to other parts of the world?

Jail time, fines and increasing investigations from the local tax authority – in Germany’s largest state, the private equity industry appears to be in a state of fear when it comes to the issue of tax and offshoring.

The two firms have registered fund management businesses with the Asset Management Association of China – a legal requirement for raising capital or investing onshore.

Impact investor Summa Equity closed Summa Circular, believed to be the first Article 9 continuation fund, in December, breaking new ground for the secondaries market.

As scrutiny intensifies, it becomes ever more important for sponsors to ensure they are following best practice on GP-leds, say Akin Gump Strauss Hauer & Feld partners Amanda Butler-Jones, Daniel Quinn and Fadi Samman.

With fundraising sluggish and GPs often desperate for capital, LPs are in a stronger position to demand certain concessions on their ‘no-fee’ co-investments.