Tag: Private equity

Warum in Private Equity investieren?

Posted on | by Robin Jakob

Private Equity offers investors access to professional management, portfolio diversification, opportunities during crises, and investments in industry leaders, often yielding impressive returns and dividends. Listed Private Equity (LPE) provides a more transparent and liquid alternative to traditional funds, with shares traded on stock exchanges, making it an increasingly popular option for investors seeking exposure to this asset class.

Authors: Michael E. Kitces
Publication date: 14 September 2015
Published in: Financial Planning Magazine
Volume/ Ausgabe: 2015/2
Source download link: https://issuu.com/financialplanningmagazin/docs/fpm_01_2015_final_web_02_d7c2d6e5cde937

Une boutique suisse s’impose dans le private equity

Posted on | by Robin Jakob

The Basel-based company LPX, founded by university graduates, established the LPX50 Index as a global benchmark for private equity, expanded into infrastructure with the NMX Index, and offers innovative, transparent investment products with stable returns.

Authors: Emmanuel Garessus
Publication date: 21 October 2013
Published in: Le Temps
Volume/ Ausgabe: 
Source download link: http://Le Temps Une boutique suisse s’impose dans le private equity LPX 211013.pdf

Private equity benchmarks and portfolio optimization

Posted on | by Robin Jakob

Portfolio optimization using private equity is typically based on one of three indices: listed private equity, transaction-based private equity, or appraisal value-based private equity indices. However, we show that none of these indices is fully suitable for portfolio optimization. We introduce here a new benchmark index for venture capital and buyouts, which is updated monthly, adjusted for autocorrelation (de-smoothing), and available contemporaneously. We illustrate how our benchmark enables superior quantitative portfolio optimization.

Authors: Douglas Cumming / Lars Helge Haß / Denis Schweizer
Publication date: 3 May 2013
Published in: Journal of Banking & Finance
Volume/ Ausgabe: Volume 37, Issue 9
Source download link: https://www.sciencedirect.com/science/article/abs/pii/S0305054811000025

A Systematic Risk Analysis of Listed Private Equity

Posted on | by Robin Jakob

This study aims at dissecting the systematic risk of listed private equity (LPE) empirically through the decomposition of its beta. Instead of testing the assertion that LPE is a good proxy of unlisted private equity, the study intends to provide potential investors with better information regarding LPE’s systematic risk and to have a better reference to obtain the relevant cost of capital when evaluating individual LPE firm.

Authors: Tsz Nok Leung
Publication date: 28 February 2013
Published in: The Journal of Private Equity  Spring 2013, 16
Volume/ Ausgabe: Volume 16, Issue 2
Source download link: https://www.pm-research.com/content/iijpriveq/16/2/93

Impact of Private Equity on a Life Insurer’s Capital Charges

Posted on | by Robin Jakob

In this article, we conduct an in-depth analysis of the impact of private equity investments on the capital requirements faced by a representative life insurance company under Solvency II as well as the Swiss Solvency Test. Our discussion begins with an empirical performance measurement of the asset class over the period from 2001 to 2010, suggesting that limited partnership private equity funds may be suited for the purpose of portfolio enhancement. Subsequently, we review the market risk standard approaches set out by both regulatory regimes and outline a potential framework for an internal model. Based on an implementation of these solvency models, it is possible to demonstrate that private equity is overly penalized by the standard approaches. Hence, life insurers aiming to exploit the asset class’s return potential may expect significantly lower capital charges when applying an economically sound internal model. Finally, we show that, from a regulatory capital perspective, it can even be less costly to increase the exposure to private rather than public equity.

Authors: Alexander Braun / Hato Schmeiser / Caroline Siegel
Publication date: 14 February 2013
Published in: Journal of Risk and Insurance
Volume/ Ausgabe: Volume 81, Issue 1
Source download link: https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1539-6975.2012.01500.x

Privatanleger Mangelware bei Private Equity

Posted on | by Robin Jakob

Private equity and venture capital play a minor role in Austria, but recent efforts by the Austrian Economic Chamber aim to improve alternative financing options, while listed private equity firms present a promising alternative for investors despite limited availability.

Authors: Patrick Baldia
Publication date: 1 January 2013
Published in: Börsen-Kurier
Volume/ Ausgabe: 
Source download link: http://Boersen Kurier-130418-007-4C