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Private equity: An impressive miracle of capitalism

By Peter Smith

Published: May 30 2006 19:15 | Last updated: May 30 2006 19:15

The global private equity industry that invests billions of dollars each month is regarded by some as a miracle of 21st century capitalism. It has enjoyed phenomenal growth in recent decades and is populated by thousands of firms that specialise by segment – ranging from venture and growth capital to mid-market and large buy-outs – as well as by geography and industry sector.

Yet the private equity model at its core boils down to two activities – raising capital and investing it companies.

Corporate finance

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