The developed ex US and emerging markets PE/VC indexes outperformed the comparable public equity index (MSCI EAFE and Emerging Markets Indexes), based on mPME returns, for all time periods ending June 30, 2018.
Families with multigenerational wealth may be particularly well positioned to consider allocating 40% or more of their assets to private investments. Assuming these families have the requisite long-term time horizon, patience, and ability to act quickly, they stand to benefit not only from the potential for higher returns but also from the tax-advantaged nature of private investments. Life could get better after 40%!
For the first half of 2018, returns for US private equity and venture capital were strong, with only 1 percentage point separating the performance of the two asset classes, as indicated by the Cambridge Associates LLC benchmark indexes.
Yes. At a minimum, investors should consciously consider it. The co-investment “craze” isn’t going away anytime soon—we estimate co-investing currently accounts for nearly one-third of all private investment activity—and there are structural reasons why it will continue, as we will discuss. For investors with allocations to private investments, adding co-investments offers some advantages; namely, lower fees…
Agribusiness private equity can be easy to overlook, but institutional investors would be remiss to disregard the sector. In this edition of Real Asset Dynamics, we examine the sector’s defining characteristics, recent industry trends, and their implications. Investors are cautious about agriculture investments. Farmland managers, which dominate the global private equity agriculture landscape, tend to…
With underlying assets that provide essential services, infrastructure debt can play a key role in institutional investor portfolios. In this research note, we review how infrastructure debt has evolved, discuss its investment qualities, and highlight a few thoughts for those considering an allocation.
In USD terms, the Cambridge Associates LLC benchmark indexes for global ex US developed and emerging markets private equity and venture capital (PE/VC) produced nearly identical results in fourth quarter 2017 (5.7% and 5.6%, respectively); but, for the year, the developed markets index earned a significantly better return (30.0% versus 18.9%).
US private equity and venture capital returns were both in the double digits for calendar year 2017, but the divide between the results for the Cambridge Associates LLC indexes for the two asset classes was fairly wide.
Equity markets and commodity-related assets outperformed other asset classes, while monetary policy expectations continued to negatively impact bond markets during the fiscal year ending June 30, 2018. This brief chart book looks at returns and other market metrics for fiscal year 2018.
In short, no—their use isn’t going away any time soon. Rather than avoid them, incorporate new elements to more clearly assess the manager’s true investment skill.