Why invest in private equity?

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Two main reasons to invest in the alternative investment asset class of private equity are explored by Oliver Gardey, Head of Private Equity Fund Investments, ICG

Top two reasons to invest in private equity

  1. Private equity provides capital to private companies and private companies are the real economy. There are many more private companies than there are public companies. Investing in private equity gives you direct access to what’s really going on in the real economy.
  2. Private equity has performed well compared to other investment asset classes over recent decades (explore our five-year financial performance vs the FTSE here). The reason for that is because management and investors in private equity or in private companies can really manage and control and transform a good company into a better company and provide that value add that gets recognised in better returns

Go deeper

Watch the full #explainedin60seconds series – private equity explained by those who understand it best.