Listed Private Equity

An investment in a listed private equity (LPE) company provides shareholders an immediate exposure to a diversified private equity portfolio and the opportunity to participate in the management fees and carried interest earned by the managers of the company.

A listed private equity company can be either be structured as a listed indirect private equity investment company (funds of funds) or as a listed direct private capital investment company or as a listed private equity fund manager.

Each organizational structure has its own risk and return characteristics.

While the listed market is small compared to its unlisted counterpart it benefits from a variety of advantages (Link: Benefits of LPE) that make this form of private equity worth further consideration.

Over the last 15 years the number of listed private equity companies (Link: LPE Allocation) rose from 25 to 125, with the UK as the dominant market.