THIS IS PRIVATE EQUITY
Private equity invests in businesses across the country, improving the lives of millions of Americans eachday. lf you just look at your own community, you'll see private equity firms investing in companies andsmall businesses that need capital to keep their doors open, create new jobs, and grow their footprint.
Milions of Americans also benefit directly from the positive returns private equity routinely provides to itsinvestors. In fact, the largest investors in private equity are public pension funds, meaning teachers,firefighters, and other public employees are the biggest beneficiaries of private equity.
Private equity helps companies grow, saves local jobs, and boosts the retirement savings of millions ofAmericans.
WHERE DOES PRIVATEhoose a State:EQUITY INVEST?
Private equity invests capital in companies that are perceived to have growthpotential and then works with these companies to expand or turnaround thebusiness. This capital is contributed by large institutional investors and isorganized into a fund. After three to seven years of ownership and working withthe company, the fund manager will seek to ¡°exit" the company by taking thebusiness public or selling it for a higher valuation than it was purchased. This exitdistributes profits from the sale ( ¡°returns" ) to the investors in the fund and thefund manager. At the end of this process, private equity investments usuallyresult in better jobs, stronger companies, and healthier communities.
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Watch & Learn
Guidelines for Responsible Investing
Private Equity FAQ
Industry Glossary
Private equity firms¡
Build Better Businesses - Make annual investments of hundreds of billions of dollars in thousands of companies to
make improvements and promote growth.
Improve Communities - Work to grow or turn around businesses and ultimately improve communities across America
Support Jobs- Millions of American workers rely on private equity for their jobs.
Strengthen Retirements - Provide the highest long-term returns, net of fees, to pension funds, endowments, andother institutional investors.
