Kevin Ley

The likelihood of increased departures in the private equity industry means more firms should start succession planning, writes Kevin Ley.

The likelihood of increased departures and retirements within the private equity industry means that more firms should start thinking about succession planning now.

UCITS-compliant funds are becoming an increasingly popular vehicle for fund managers looking to get around the strict regulatory burdens and resulting compliance costs of a new EU directive due to be voted on in Parliament by the end of the year.

Private Equity Manager sought out feedback from several different private equity players with regard to 'Private Equity Principles' just released by the Institutional Limited Partners Association. The LP-friendly suggested partnership terms are seen by some non-LPs as less than perfect.

The SEC is proposing to create a new asset management enforcement unit, which could be good news for firms that have complained in the past about a lack of private equity expertise among auditors and investigators.

Small firms that have relied on lines of credit to smooth cash flow may have to wait until 2011 for relief, writes Kevin Ley.

As managers decide which entity should pay for outsourced fund administration costs - the fund or the management company - they will encounter exceptions and gray areas. And LPs will certainly take a view.

Recent UK tax increases and the threat of additional EU regulatory burdens are causing more UK-based fund managers to ponder moving to more hospitable jurisdictions.

Proposed regulations could force many 'foreign advisors' to register with the SEC, potentially causing them to limit their number of US LPs.

There are so many ways to mess up the complex task of fund administration. Here are four big ones.