TY - BOOK
T1 - A Recommitment Strategy for Long Term Private Equity Fund Investors
AU - de Zwart, Gerben
AU - Frieser, Brian
AU - van Dijk, Dick
N1 - JEL Classification: G11, G23, G24
PY - 2007/12
Y1 - 2007/12
N2 - This paper develops a reinvestment strategy for private equity which aims to keep its portfolio weight equal to a desired strategic allocation, while taking into account the illiquid nature of private equity. Historical simulations (1980-2005) show that our dynamic strategy is capable of maintaining a stable investment level that is close to the target. This does not only hold for unrestricted portfolios, but also for investments limited to buyout or venture capital, a specific region, or management experience. This finding is of great importance for investors, because private equity funds have a finite lifetime and uncertain cash flows.
AB - This paper develops a reinvestment strategy for private equity which aims to keep its portfolio weight equal to a desired strategic allocation, while taking into account the illiquid nature of private equity. Historical simulations (1980-2005) show that our dynamic strategy is capable of maintaining a stable investment level that is close to the target. This does not only hold for unrestricted portfolios, but also for investments limited to buyout or venture capital, a specific region, or management experience. This finding is of great importance for investors, because private equity funds have a finite lifetime and uncertain cash flows.
UR - https://www.researchgate.net/publication/4750085_A_Recommitment_Strategy_for_Long_Term_Private_Equity_Fund_Investors
UR - https://ideas.repec.org/p/ems/eureri/10892.html
UR - https://scispace.com/pdf/a-recommitment-strategy-for-long-term-private-equity-fund-11yaz4ysbp.pdf
UR - https://www.efmaefm.org/0EFMSYMPOSIUM/2010-Canada/papers/PE_ComStrat_DeZwart_Frieser_vanDijk_200911.pdf
UR - https://books.google.nl/books/about/A_Recommitment_Strategy_for_Long_Term_Pr.html?id=r31nNQEACAAJ&redir_esc=y
M3 - Report
T3 - ERIM Report Series
BT - A Recommitment Strategy for Long Term Private Equity Fund Investors
PB - Erasmus Research Institute of Management (ERIM)
CY - Rotterdam
ER -