Private Equity as an Asset Class 2nd Edition

“A comprehensive attempt to get to the bottom of private equity returns over the past 15 years or so as well as a well written overview of the buyout and venture markets.”
—The Daily Telegraph

“… author Guy Fraser-Sampson has some eye-opening comments about the current state of private equity affairs …”
—Institutional Investor

“Guy Fraser-Sampson conveys the complex specifics of private equity with some ease. His introduction to private equity is stimulating reading for experts and non-experts.”
—Investment and Pensions Europe

“I can’t think of anyone better qualified to write this book.”
—Roger Wilkins, Morley Fund Management

“A masterpiece by the acknowledged expert in the field.”
—Ross Butler, European Venture Capital Association, former editor Real Deals

“Writes with the authority of twenty years’ experience gained on both sides of the Atlantic.”
—David de Weese, Paul Capital Partners

“Shines a torch of clarity into some dimly lit areas of private equity theory and practice.”
—Javier Loizago, Chairman, Mercapital and former Chairman, European Venture Capital Association

“A brilliant writer with a real talent for describing a complex subject.”
—Thomas Meyer, European Investment Fund, author of Beyond the J-Curveand J-Curve Exposure

“I have always said that Guy wrote the book on private equity – now he really has!”
—Ernie Richardson, MTI

Unfairly reviled, and much misunderstood, private equity differs from all other asset classes in various important respects, not least the way in which its fund mechanisms operate, and the way in which its returns are recorded and analysed. Sadly, high level asset allocation decisions are frequently made on the basis of prejudice and misinformation, rather than a proper appreciation of the facts.

Guy Fraser-Sampson draws upon more than twenty years of experience of the private equity industry to provide a practical guide to mastering the intricacies of this highly specialist asset class. Aimed equally at investors, professionals and business school students, it starts with such fundamental questions as ‘what is private equity?’ and progresses to detailed consideration of different types of private equity activity such as venture capital and buyout.

Rapid and significant changes in the environment during the recent financial crisis have prompted the need for a new edition. Separate chapters have been added on growth and development capital, as well as secondary investing. Newly emergent issues are considered, such as lengthening holding periods and the possible threat of declining returns. Particular problems, such as the need to distinguish between private equity and hedge funds, are addressed. The glossary has also been expanded. In short, readers will find that this new edition takes their understanding of the asset class to new heights.