And promising start-ups are tending to stay private longer, with elite investors capturing even more of the biggest gains. Over all, the performance of private funds doesn’t look much better than your standard mutual fund. Private equity funds returned 13.3 percent in 2018 and 11.6 percent for the past 10 years ending in September 2018, after fees, according to PitchBook’s most recent private markets benchmark data. Investors who held mutual funds that specialized in small and midsize companies earned returns of 14.3 percent in 2018 and 9.4 percent over the same 10-year period. acknowledged that it didn’t have a full picture of how investors fared in private investments, which are also called exempt offerings.

Source: New York Times January 04, 2020 07:52 UTC