PRINT THIS PAGE A double-edged sword08/10/2002. Source: RMF Investment Products. 
 The recent shake-out in the private equity industry has been reflected across all stages, none more so than in the recent slashing of large funds. But, as RMF Investment Products argues, setting the right fund size is a double-edged sword.
It is essential that a private equity house has a fund large enough to survive but ensures that it does not become so large that it is problematic. For example, high management fees will make investors wary of the appetite of the fund manager and his desire to work for the best possible carried interest.
Copyright © 2002 RMF Investment Products
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RMF Investment Group, which since May 2002 belongs to the Man Group, is the leading provider of alternative investment solutions in Europe. The company has more than 182 employees and assets under management of approximately $9.5 billion.
The operations of RMF are concentrated on hedge funds, leveraged finance, private equity and convertible bonds. The company is dedicated to providing solutions for sophisticated investors in these areas. It offers to its customers' investment know-how through a systematic due diligence process, extensive experience in product structuring and portfolio construction as well as the ability to customise products to client specific needs. For more information please visit www.rmf.ch
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