The Strategic Secret Of private Equity - Harvard Business - Tysdal

[Babette Susana]

There is typically a hurdle rate (an annual required return tyler tysdal denver of 7-10%) that general partners should achieve prior to performance charges are permitted to be taken. The structure of these efficiency charges inspires the partners of private equity firms to produce large returns; they Tyler T. Tysdal are intended to align the interests of the basic partner with the limited partners - .

PE Firm Focus There are various types and sizes of private equity companies and funds. . A private equity company might have numerous funds that can specialize in either a specific industry or a specific geography. Private equity firms create funds to concentrate on locations where they believe that can produce worth for companies. .