An article published in Citywire Selector on 21 October, 2025, examines a new study by the EDHEC Infrastructure & Private Assets Research Institute (EIPA), tracking 16 private equity evergreen funds registered in the US with a total AUM of $60bn as of 31 March 2025 and accounting for nearly 90% of the AUM in the space, warning that evergreen private equity funds are exposing investors to high fees and valuation risks.

“Overall, the researchers have argued that the evergreen fund model introduces a number of tensions.

‘There is a long history of blowups for investment products that promise the impossible – high returns and low volatility. Fee structures that crystallise on unrealised gains risk misalignment between managers and investors, while liquidity management challenges expose investors to structure risks that could impair unit values,’ they added.”

Read the full article.