The California Public Employees’ Retirement System (CalPERS) is requiring private equity managers that want its money in the future to disclose what kinds of fees they’re pocketing from portfolio companies, a move that would likely shed more light on how much the industry earns, the Wall Street Journal reported today. The move comes as the nation’s largest pension investor, with more than $300 billion in assets under management, has launched talks with other institutional investors to develop best practices regarding what types of information private equity managers should share with limited partners, said Ted Eliopoulos, the pension fund’s chief investment officer. CalPERS is working with the Institutional Limited Partners Association, a trade organization representing fund investors, to define what kinds of information private equity firms should be willing to disclose, Eliopoulos said.
