Oversight of Private Equity, Fund Values Set for Overhaul (1)

Private equity funds held by Apollo Global Management Inc. and Blackstone Group Inc. nose-dived by more than 20% in the spring as the pandemic spread across the globe, only to rebound in the second quarter.

But the hit to private equity portfolios varied depending on the exposure to certain industries, like travel or energy, and how closely those valuations are tethered to public stocks. And for competitors KKR & Co. LP and Carlyle Group Inc., the decline in valuations weren’t as steep, according to a Fitch Ratings analysis.

Accurate valuation of those typically long-term commitments is crucial to investors, who ...