The Financial Post reports in its Saturday edition with Canadian pension funds searching for superior returns outside traditional public markets, Andrew Ang is one of the few brave souls waving the caution flag about private equity. The Post's Tim Kiladze writes that in early 2013, the professor and chair of finance and economics at Columbia Business School suggested private equity returns are not as sexy as they seem. Prof. Ang found that widespread biases inflate private equity returns, and even after adjusting for these, the gains often are not enough to justify the extra risk that comes with this type of investing. In a public market, investors can buy and sell at any time; in the private asset world, the market can quickly dry up. He is not alone any more. As private equity heats up, there are growing questions about the industry and its valuations. The Securities and Exchange Commission has weighed in, with reports showing that an internal review found widespread compliance shortfalls that can affect the way funds are valued. The questions come just as Canadian pension funds pile into private markets, searching for juicy returns many claim cannot be made from investing in publicly traded securities.