25 years: Private equity & banking
In this exciting series on private equity, shot entirely from home, Gavin discusses its three defining features - negotiation, exit and activism - and private equity's classification as an asset class.
In this exciting series on private equity, shot entirely from home, Gavin discusses its three defining features - negotiation, exit and activism - and private equity's classification as an asset class.
Finance Unlocked is the video learning platform built for finance professionals.
This content is also available as part of a premium, accredited video course. Sign up for a 14-day trial to watch for free.
9 mins 14 secs
The characteristics of private equity which distinguish it as an asset class are that every transaction involves a negotiation, that every investment is made with an explicit understanding that it will be exited within a defined time period and that the role of the investor in the governance of the investment is an activist one of getting involved in managerial decision making. The private equity market developed in phases starting in the seventies and now there are some 7000 firms operating globally. Care must be taken to distinguish the handful of mega firms from the rest.
Key learning objectives:
Understand what the three key features of the asset class mean
Understand the history of private equity
Identify what kind of firms we distinguish
This content is also available as part of a premium, accredited video course. Sign up for a 14-day trial to watch for free.
This content is also available as part of a premium, accredited video course. Sign up for a 14-day trial to watch for free.