Private Equity

Definition:

Equity shares that are not traded on a public exchange. Private equity consists of investors and funds that invest directly into private companies and the investment often takes the form of leveraged buyouts, venture capital, and distressed investments. Companies that receive investment usually go through following stages: seed stageearly stagegrowth stagemiddle stagelater stage

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Expected future return

The return that is expected to be earned on an asset in the future. Also called the expected return.

Subscribe to the Term of the Day via email Get the Term of the Day in your inbox!


Create your free portfolio