The Right Manager, the Right Risk Level
Private equity investing seeks to generate substantially greater returns than the traditional equity markets, enhancing overall portfolio performance. The opportunity to achieve such performance often entails higher levels of risk and very limited liquidity.
Private equity investments are varied and span an organization’s lifecycle, from start-ups to mature businesses. In addition, the secondary and distressed market subsets of the overall private equity market can be utilized opportunistically to improve diversification and cash flow. Given these factors, there’s a great deal of specialization among management firms, and NEPC works closely with clients to structure a plan that’s diversified by style and vintage year and to identify the best qualified, most appropriate managers. When managers are retained, we follow their progress with performance analytics and qualitative updates.
NEPC also educates decision makers about appropriate uses and potential risks of private equity investment and shares relevant insights by distributing periodic market commentaries directly to clients.