One of the current problems that institutional investors face is lack of adequate transparency and control of all costs charged by manager, which was dramatized by the Madoff fraud.  According to the New York Times, “Earlier this year, a senior executive of the California Public Employees’ Retirement System, the country’s biggest state pension fund, made a surprising statement: The fund did not know what it was paying some of its Wall Street managers.” The investment agreements that institutional investors sign often give a lot of leeway to managers to pass questionable costs to the LPs. Recently, the Carlyle group passed on their limited partners (LPs) the cost of a $115 million settlement of a insider trading lawsuit. This create an opportunity for companies such as VitrioNovus, and AcordIQ which provide a technology platform to institutional investors for systematic oversight of fund managers. Some industry champions, such as Scott Evens, CIO of one of the largest public pension fund, New York City Retirement Systems, are leading the way to establishing best practices around a revamped due-diligence and governance process.