Private Equity
Simply a private pool of money that is placed into companies or assets that are not publicly listed.
Low Fees
Unlike mutual funds, which charge heavy management fees regardless of performance, Private Equity firms only take their fees after the capital has generated a return.
Control and Management
Assets are very closely controlled. The partners of the firm will take an active role to create positive change, making day-to-day decisions to increase revenue and growth the value of the business or asset.
Mutual Benefit
Most firms place their own money alongside clients, in the same deals, therefore they are directly aligned in the successful outcome of each and every project or business.
Flexibility
The industry has a truly dynamic approach and is not limited to how they create profit for clients. They operate a variety of models which allows them to capture returns across a variety of sectors.
Focused
They are responsible for many of the most creative and successful deals in recent years. The industry is focused on maximizing profit by producing highly effective businesses with lasting benefits.
Lower Volatility
Performance is typically driven by valuations that are based on key fundamentals of the business such as revenue, profit, and growth potential. This is in contrast to the speculative equity markets.