Why PE investors are watching GPs more closely

Not too long ago investors would continue pumping money into private equity funds if they thought they could take advantage of reasonably valued opportunities and obtain higher yields. But now they are taking more care over their due diligence to guard against potential risks from shoddy fund operations. For example, Softbank was recently faced with challenges in raising about $100 billion for a second mega fund, after several key investors in its first Vision Fund complained ab…