White paper
A recent Bloomberg Law analysis shows that despite the financial difficulties generated by the Covid-19 crisis, private equity buyout volumes remain solid. In the…
A recent Bloomberg Law analysis shows that despite the financial difficulties generated by the Covid-19 crisis, private equity buyout volumes remain solid. In the US alone, there are $101.3bn in proposed, pending, and completed private equity buyouts this year, a 15% rise from 2019.
For those who have not previously invested in private equity, there are some important considerations to bear in mind:
Data from at least the last three decades shows that private equity has provided investors with the highest risk-adjusted returns as an asset class. Private equity offered the highest annualized returns among the major asset classes while exhibiting less volatility than listed equities, even when desmoothing private equity returns, according to Henry H. McVey, Head of Global and Macro Asset Allocation at KKR & Co.
Large cap buyout funds offer new private market investors a vehicle to access the benefit of strong underlying assets stewarded by effective, experienced managers. The investment strategy targets the technology sector, which has generated the strongest returns for investors between 2010 and 2018.
Existing investors in the asset class may want to consider if they are sufficiently diversified, both across the different fund types (from buyout to private debt and real assets) and in terms of the underlying assets. Accessing the full range of opportunities afforded by private equity requires diversification even within the asset class.
For more information and source material for the above, please see details here
Important notice: This content is for informational purposes only. Moonfare does not provide investment advice. You should not construe any information or other material provided as legal, tax, investment, financial, or other advice. If you are unsure about anything, you should seek financial advice from an authorised advisor. Past performance is not a reliable guide to future returns. Don’t invest unless you’re prepared to lose all the money you invest. Private equity is a high-risk investment and you are unlikely to be protected if something goes wrong. Subject to eligibility. Please see https://www.moonfare.com/disclaimers.
Benefit from what institutional investors already know: the greatest shareholder value comes from private markets, and funds like those offered on Moonfare have generated an average IRR of 19% — outperforming the S&P 500 by 13%.*
Sign up now%20(1).jpg)
* Past performance is no guarantee of future returns.
Please read this important information. By selecting I AGREE this indicates that you have read and understand the below, before accessing the rest of this website.
This disclaimer is intended for UK readers accessing this website who should be aware that Moonfare cannot guarantee all information displayed on its website will be relevant or suitable for UK audiences. Moonfare cannot guarantee the information contained on its website is up to date, and makes best efforts to ensure it sources and data are accurate at the time of publishing.
The information on this website may not be suitable for all investors and we therefore need to ensure that you are sufficiently aware of the risks and are of a suitable category as defined by the Financial Services and Markets Act 2000.
The information set out in this website does not constitute or form part of any offer to issue or sell, or any solicitation of an offer to subscribe or purchase any investment, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with any contract.
.webp)
