Bayou City Energy Management (BCEM) is a private equity firm that advises private funds investing in energy exploration and production companies. BCEM identifies investment opportunities, negotiates terms, manages investments, and seeks to sell them for a profit. BCEM does not tailor its advisory services to the individual needs of investors in its Funds; rather, BCEM’s investment advice and authority for each Fund is tailored to the investment objectives of that Fund.
Fee Structure
BCEM advises private funds and charges a management fee, generally 2% per year. The management fee is calculated based on committed capital during the investment period, and then on the cost basis of portfolio investments. Investors in affiliated funds do not pay management fees. BCEM may also receive carried interest, which is a share of the profits from the funds' investments.