Jenna Gottlieb

Hewitt Associates’ plan to acquire EnnisKnupp will build out the firm’s investment consulting business, advising LPs on private equity, real estate and infrastructure investments. Hewitt will pick up several of EnnisKnupp’s large pension fund clients that allocate to private equity.

The US Congress today passed sweeping financial reform legislation, which includes the so-called Volcker Rule and required SEC registration for private equity firms

Lawmakers agreed to require private equity and private equity real estate firms to register with the SEC, while the 'Volcker rule' was softened to allow limited holdings in private equity real estate assets. A formal vote is expected next week.

Under a compromise between the US Senate and House of Representatives, most private equity funds will have to register with the SEC, while venture capital firms will be exempt.

A re-tooled version of the bill will likely face another vote on Friday as senators continue to negotiate.

The latest twist in the Capitol Hill carried interest drama would treat 65% of carried interest as ordinary income, but that would drop to 55% for investments held for seven years or more.

The firm will continue to expand the programme to other portfolio companies, looking for ways to cut emissions and waste.

In an effort to curb the use of placement agents, the US' largest public pension has set up an automated system for submitting private placement memorandums that has been greeted with scepticism. But CalPERS CIO Joseph Dear said the system will eliminate the need for money managers 'to pay someone to call us'.

The House bill will tax 75% of carried interest as ordinary income at a rate of 35%, and the balance as capital gains at 15%. The bill now goes before the Senate.

The placement agent has denied he 'gave, accepted and failed to disclose gifts' to senior pension executives.