PE Fund Guide & News

Private Equity is an important term in financial markets but it’s a little too technical to grasp for everyone. To put it simply, private equity is a constitution of firms and individuals who tend to take public firms and turn them into private firms after acquiring them. It is the delisting of firms or enterprises from the public stock exchanges. Private Equity funds are quite important in the economic growth of a country like just like the concept of real estate fund . India is proceeding towards a bright future in private equity and real estate. If you’re interested in learning about this type of equity, you must take a look at the following strategies: Venture Capital Venture capitalists search for start-ups or young enterprises with a little or no history of profits. The main motive is to invest in promising companies to generate high profits and eventually exit the firm. There is certain amount of inherent risk in investing in small companies but, the investing firms ...

Most of us get confused when we hear the word, ‘private equity’. Even those who have been working in the corporate world and real estate market for quite a while find it difficult to understand that how do private equity in India actually works.  To make it simpler, private equity investors basically have three major functions to do—raising money for the partners, sourcing and closing the deals, and improving the operations. Let’s understand the working dynamics of private equity investors in a bit more detail.    Raising Money : Raising money is one of the most challenging jobs for any equity investor. Usually, they rely upon external institutes such as LPs (Limited partners) for raising money. Sometimes they also invest in real estate funds to get returns but they mostly rely upon the limited partners. Sourcing and closing the deals: This part may not be as challenging as raising money but a very critical one. Acquisition requires the investors to do a go...

Investing in real estate returns the capital with huge profits. It requires diligent involvement in the pertaining affairs such as the legal, monetary and managerial aspects. These things make investing in this area much tougher comparatively. Consequently, obtaining real estate funds is not as easy as acquiring loans for personal or professional reasons. One of the biggest advantages of investing in real estate as compared to stock markets is that properties in real estate cope better even in an economy headed south. The elementary or the most common type of investment is simply buying a property and renting it to a tenant. The alternative to renting it out is holding on till the circle rates increase and selling the property for a profit. This entails all the expenditures such as taxes and property maintenance on part of the landlord or owner. Landlords do include these expenditures in the rent agreements usually. Real Estate Investment Funds – Investing in funds prov...