2014 is set to witness an increase in co-investment activity, with 52% of LPs and 31% of GPs intending to ramp up their operations in this sector, according to a recent Preqin study. However, the study cautions the high expense of co-investments and competition in the landscape could act as deterrents to those who express an initial interest. Gaining prominence The Preqin’s report highlights co-investments are passive, non-controlling investments, a provision of separate equity that is often not subject to fees. Despite carrying a greater level of risk and complexity, co-investments bring a myriad of benefits to both the investor…
Co-investments Hold Promising Potential For PE: Preqin
Mani
Mani is a Senior Financial Consultant. He has worked in Senior Management role in large banking, financial and information technology organizations. He has provided solutions for major banking and securities firms across the globe in the area of retail, corporate and investment banking. He holds MBA (Finance) and Professional Management Accounting Qualifications. His hobbies are tracking global financial developments and watching sports