private Equity Investing Explained

[Babette Susana]

There is typically a hurdle rate (an annual required return of 7-10%) that general partners need to achieve prior to performance fees are permitted to be taken. The structure of these performance fees inspires the partners of private equity firms to create large returns; they are meant to line up the interests of the general partner with the restricted partners - .

PE Company Focus There are several types and sizes of private equity companies and funds. . A private equity firm could have multiple funds that can concentrate on either a specific industry or a specific geography. Private Tyler Tivis Tysdal equity firms develop funds to focus on areas where they think that can create https://blogfreely.net/madorautut/to-keep-knowing-and-advancing-you... value for companies. .