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Private Equity Investment

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Capital Markets and Investment Decision Making
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Abstract

Private equity (PE) is an ownership interest in a company or portion of a company that is not publicly owned, quoted or traded on a stock exchange. It has gained a great influence in today’s market place. A source of investment capital for private equity is generally high-net-worth individuals and firms that purchase shares of private companies or acquire control of public companies with plans to make them private, eventually delisting them from public stock exchanges. Most of the private equity industry is made up of large institutional investors, such as pension funds, and large private equity firms funded by a group of accredited investors.

The four most dangerous words in investing are: this time it’s different.

Sir John Templeton

Raj S. Dhankar and Kunjana Malik, A Dynamic Panel Data Analysis: Effect of Private Equity on Investment and Financial constraints of Indian Companies, The Journal of Private Equity, Fall 2015.

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Notes

  1. 1.

    Bertoni (2006).

  2. 2.

    Schwienbacher (2005).

  3. 3.

    Cummins (2006).

  4. 4.

    Amess and Wright (2007).

  5. 5.

    Amess et al. (2008).

  6. 6.

    Amit et al. (1998).

  7. 7.

    Alfaro and Kanczuk (2014).

  8. 8.

    Scheuten (2014).

  9. 9.

    Thompson et al. (2013).

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Correspondence to Raj S. Dhankar .

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Dhankar, R.S. (2019). Private Equity Investment. In: Capital Markets and Investment Decision Making. Springer, New Delhi. https://doi.org/10.1007/978-81-322-3748-8_15

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