Can investors time their exposure to private equity?
Private equity performance, both for buyouts and venture capital, has been highly cyclical: periods of high fundraising have been followed by periods of low performance, both for buyouts and venture capital. Despite this seemingly predictable variation it is not so easy to successfully time capital commitments.
This occurs, in part, because investors can only time their commitments to funds; they cannot time when commitments are called or when investments are exited. There is a high degree of time-series correlation in net cash flows even across commitment strategies that allocate capital in a very different manner over time.
Presentation by internationally recognized expert David Robinson.
Followed by a panel discussion with:
Christina Brinck, AP6 - Sixth Swedish National Pension Fund
Natalia Fontecha, StepStone Group
Bengt Hellström, AP3 - Third Swedish National Pension Fund
Roger Johanson, Carneo
Moderator: Magnus Dahlquist, Swedish House of Finance at the Stockholm School of Economics.