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Why to Invest In Private Equity

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Private equity investing, largely attributed as “investing in securities through a negotiated process” is fast emerging as the alternative to investment in the institutional framework. Private equity calls for a specific and a specialized skill set which largely accounts as the diligence area for investor’s assessment of a manager. There has been a spurt in the spectrum of investors in private equity because of the need to rapidly include different types of investors to adhere to the long term commitments to the asset class. The commitments enable the investors to seek a level of geographical diversification in their private equity portfolios. The fundamental reason for investing in private equity funding is to improve the possibility of risk for investing in private equity offers an opportunity to generate higher absolute returns to the investor while also improving upon the portfolio diversification. Inflation results in an escalating focus on growth stocks. A

Perks Of Investing In Real Estate Funds

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-Affordability Quotient Investors don’t really need a huge amount to enter the real estate funds . They can start with a minimum fixed investment value and can go ahead with buying units on secondary market just after the funds are launched. It is in this way that the investors can participate in the income from the large-scale property development without having a need to invest in a big amount in the property itself. -Inflation Hedge The returns from real estate in India or anywhere depends largely on the rent as acquired from the tenants. There are some leases which have a scope for rent increment to be indexed to inflation.  In other cases of rent, a rent is increased whenever the lease expires and it needs to be renewed. Anyways income from real estate generally increases in an environment of inflation so that the investors can maintain their income from the returns. -Diversification Value Since the real estate returns have a relatively low depend

Health Care Attracts PE Investors

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Back in 2007, Dr. Ajay Kumar along with Rajat Goel ran an eye care center called ‘Eye Q’ in the small town of Rewari in Haryana with the aim to provide eye care to the people at affordable prices. They admit that they had a hard time starting off with the high-growth and capital-intensive business. Since banks refused to lend them money without collateral, the duo began to look up to Private Equity funds as a potential source for raising capital for the noble cause.  Their decision would bear positive results in just three years. In 2010, Eye Q was able to raise a total of Rs.10 crore. They raised an additional capital in two more rounds of PE funding .  They raised Rs. 45 crore in 2011 followed by an inflow of Rs. 25 crore worth of private equity funds that they were able to accumulate in the beginning 2013. Raising capital through PE Funds in India has enabled the eye care center to extend the socially-driven initiative to other parts of the country. As of tod

An Overview of Private Acquisitions

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It’s been observed that contrary to earlier days, wherein majority was not familiar to aspects of the financial world, nowadays sea difference is witnessed. These days, financial world is attracting hordes to its shores and contrary to the early years, when all that a person would know is depositing and withdrawing money from his savings and/or current account, things have now changed. Now regardless of the genre a person is in, anyone and everyone prefers to invest money in shares and debentures. Seemingly, the chain is being joined-in by hundreds and thousands of investors every day. Apart from shares and debentures, there’s a lot that’s there in the market, which unfortunately not everyone is familiar to.   In follow up of the write up here’s I’m considering loopholes of private equity acquisition.       Private acquisitions are usually prompted in conjunction to a seller’s desire when he has to do away with the company, other than a buyer’s desire to pitch in and purcha