Significant cracks in the $12 trillion private equity business are emerging with big firms like Blackstone Group, Apollo Global management, and other big players failing to meet fundraising goals, asking investors for money and suffering losses on some major funds, Fox Business has learned.

Private equity has been among the best performing investment vehicles in recent years. The firms will buy public companies, take them private and sell them at a profit years later. They also invest in real estate and trade various securities to earn returns that often beat the markets. Unlike big banks and securities firms, they receive less scrutiny from regulators, side-stepping the so-called systemically important designation that brings tremendous oversight. READ MORE