Good news for those looking to invest: the barrier to entry for private equity has been eased. The usual rule of “2 and 20” – 20% of the profits, plus a 2% annual charge – has been lowered in favor of the investors. According to The Economist (“Fees for Hedge Funds and Private Equity Down“), the new rule is something more like “1.4 and 17,” especially for newcomers to the market. This is a cost reduction of 0.6% annual management fees and 3% of the profits. If you were looking for an excuse to invest, now is the time!