First, private equity funds have gathered many excellent fund managers.
Many fund managers of private equity funds are from Public Offering of Fund, and these fund managers who can earn private equity from public offering are high flyers in the market, because if they don't have any outstanding abilities, they might as well stay in the public offering market, at least guaranteed.
Second, private equity funds are not restricted by positions.
As we all know, in Public Offering of Fund, different funds have strict position restrictions, such as stock funds, which must ensure that the stock position is above 80%. Private equity funds have no such restrictions, which means that fund managers can give full play to their active management ability, and capable fund managers will get higher returns.
Third, private equity funds pay attention to the pursuit of yield.
The public offering of funds is a public offering involving many investors. Paying more attention to the stability of income in the operation process can better ensure the stability of the fund scale.
Different from private equity funds, investors are more targeted, and the important income of private equity fund managers comes from performance commissions, so they are more closely related to the interests of investors. Private equity funds aim at pursuing absolute returns.
Fourth, private placement is a quality asset.
Generally speaking, private equity funds will be closed for one year after establishment, and many private equity funds will be closed for three years.
The increase of investment period is very beneficial to the management of fund managers, and time is the best friend of investment. At the same time, it can also effectively reduce the bad investment habits of investors chasing up and down.