News & Events

Michael Wolitzer, Head of the Firm’s Investment Funds Practice, was quoted in a Private Equity International article titled, “Regulation Complicates the PE Playbook: Story of the Year,” which detailed how SEC rulemaking in 2023 significantly expanded the regulatory compliance requirements for private fund advisers. When commenting on the Private Fund Advisers rules, Michael noted, “Based on the discussion at the SEC’s open meeting, the final rule has eliminated many of the most aggressive substantive regulations that would have impacted the private equity industry, and has become mostly a disclosure and reporting regulation with some exceptions.” He further explained, “There are substantial requirements relating to side letters that will impact open-end funds most acutely, but will also impact the private equity industry as well, especially as it relates to portfolio company reporting to investors.” He added, “There is no question that these regulations will add to legal, compliance and finance/accounting costs to operate a private equity fund.”

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