WSJ reported The Carlyle Group will allow little investors, those with $50,000,into its private equity funds. The trick is small investors will need to go through Central Park Group and incur an additional 1.8% fee for the privilege. This is on top of Carlyle's standard 1.5% management fee and 20% of profits.
Carlyle's "distinctive competencies" included its private, non-publicly traded status and investor exclusivity. Carlyle went public, trashing that sales line. It seems exclusivity could be next. A toast to the small people and their PEU hopes.
Update 4-22-17: PEUs still want 401k holders to invest in private equity and Central Park Group continues pushing private equity..
