The boom in the private equity fund industry has gone into overdrive. New records are being set on almost a weekly basis. This is a golden age for private equity firms: soaring valuations and a frenzy of takeover deals, with the prospect of more to come.

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Co-investing has gone on for a long time but currently appears to be growing very rapidly. It may very well be changing the industry – but, obviously, there is no role for independent governance in a co-investment because the LPs are effectively in the driving seat. However platforms are being built to allow smaller LPs to get in on co-investment opportunities as a group. In these situations some form of independent governance would be a good idea.

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