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Personal Investments • Is there a net worth where you "should" think about Private Equity?

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Large pension funds have private equity portfolios.
It seems insane to gamble with people's retirement funds, but I clearly don't understand the marvels of high finance.
Why do you assume private equity portfolios equal gambling? Where does that come from?
Because my impression is that private equity is a high-risk, high-reward investment. Is my impression wrong?
Gambling is different from investing. Both public and private equities are high-risk, high-reward investments. Both are actual investments though, covered by professional investment analysts who underwrite their underlying financials and management teams continually over time. Neither mutual fund managers nor private equity fund managers want to lose money for their investors - and won't get bonuses and won't be employed for long if they do consistently.
I wouldn't say investing in an index fund is as risky as investing in a private-equity fund.

Statistics: Posted by mikejuss — Thu May 16, 2024 5:02 pm — Replies 35 — Views 1895



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