The question of whether program maturity distorts private equity fee benchmarking has important implications for how institutional investors interpret cost comparisons across peers. This research paper examines how the age and deployment stage of private equity programs influence reported fee levels, and whether younger programs appear more expensive simply due to their position in the investment lifecycle. Drawing on CEM’s benchmarking database, the study analyzes fee patterns across different stages of capital deployment and evaluates how fund age interacts with key fee drivers.

The paper explores how CEM’s benchmarking methodology—using commitments and invested capital as primary drivers—accounts for differences in program maturity, and assesses the extent to which this approach mitigates potential distortions. It also outlines scenarios where additional age-adjusted analysis may provide further insight, particularly for funds seeking a more nuanced understanding of their cost positioning.