Transcription of Is it possible to benchmark private equity …
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LP 2004 The problems start with the fundamental differences betweenprivate equity and other publicly-traded asset classes. JesseReyes, vice president at Venture Economics, which, among others,works with the National Venture Capital Association in the US andthe European Venture Capital Association in Brussels to produceperformance figures for their members, outlines the control issue. In the public markets the money that an investment manager getsis not under his control and you do not want to penalise or rewardfor a timing decision that is not under his control.
LP Corner www.evcj.com 52 September 2004 But it does work and, although complex, is not undermined as a model in the way PME is when tested by market extremes.
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