Private equity pickup boosts performance

private equity asset class chief executive

29 May 2014
| By Staff |
image
image
expand image

Recent data reveals significant new deal activity in the final quarter of last year helped Australian private equity and venture capital funds deliver returns 200 basis points ahead of the ASX 300 Index. 

The Australian Private Equity and Venture Capital Association Limited (AVCAL) confirmed that private equity and venture capital funds in Australia posted returns of 22 per cent in the 12 months to 31 December 2013. 

The Cambridge Associates LLC Australia Private Equity and Venture Capital Index (the CA Australia Index) - an independent performance benchmark for the asset class - reflected a significant pick-up in performance in the final quarter of 2013, gaining nearly 10 per cent compared to the ASX 300 Index which rose 3 per cent in the same quarter.   

The CA Australia Index also outperformed the ASX 300 Index over 1-year, 3-year, 10-year and 15-year time horizons, underscoring the higher returns from private equity for investors over multiple time periods.  

“The index has shown strong returns for the last six consecutive quarters, and the results from this most recent period are especially positive,” AVCAL chief executive Yasser El-Ansary said. 

“The 10- to 15-year returns demonstrate how investors with long-term horizons have been the big winners from this asset class,” he said. 

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

GG

So shareholders lose a dividend plus have seen the erosion of value. Qantas decides to clawback remuneration from Alan ...

2 months 3 weeks ago
Denise Baker

This is why I left my last position. There was no interest in giving the client quality time, it was all about bumping ...

2 months 3 weeks ago
gonski

So the Hayne Royal Commission has left us with this. What a sad day for the financial planning industry. Clearly most ...

2 months 3 weeks ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

1 week 3 days ago

The Reserve Bank of Australia's latest interest rate announcement has left punters disheartened on Melbourne Cup Day....

1 week 2 days ago

The Federal Court has given a verdict on ASIC’s case against Dixon Advisory director Paul Ryan which had alleged he breached his director duties....

1 week 1 day ago