Private equity index outperforms
New research has painted private equity as a better than average performer amid the current market volatility.
The Cambridge Associates Australian Private Equity and Venture Capital Index was revealed as having continued to outperform the S&P/ASX 300 Index over multiple time horizons.
According to the Australian Private Equity and Venture Capital Association (AVCAL), the index had also outperformed other key asset benchmarks over a number of different time periods.
AVCAL chief executive Dr Katherine Woodthorpe said the index had demonstrated that private equity was, overall, delivering substantial and consistent net returns to investors over multiple time horizons.
She said the increased number of exits this year had also seen many of the investments delivering excellent returns to pension funds and other institutional funds.
The research revealed that for the quarter ended 30 June, the Cambridge Associates Index had annualised returns of 8.59 per cent, 2.42 per cent, 4.23 per cent and 7.81 per cent over one, three, five and 10 years respectively.
It said the index's quarterly returns of 3.18 per cent compared favourably against minus 4.26 per cent for the S&P/ASX 300 Index.
Money Management Top News Stories
News: Financial Planning Association in the red
News: HUB24 adds seven dealer groups to client list
News: Separating SMSF fact from fiction
News: AXA's upgraded North product doubles inflows
Roundtable: FOFA - the good, the bad and the ugly
AUTHOR
Mike Taylor
Recommended for you
Moody’s has painted an optimistic picture for alternative asset managers in the year ahead, with lower interest rates and deregulation likely to prove supportive for their growth.
Platinum Asset Management has released its latest funds under management, with outflows notably improving from the $841 million lost in November.
Bennelong Funds Management chief executive, John Burke, has shared the firm’s priorities for 2025 including offering its responsible entity service to third parties.
With numerous private equity firms taking an interest in Australia, Money Management explores their backgrounds and the leading players who could take a stake.
