Second, the fund manager is the soul of private placement. When judging fund managers, their professional background, development path, investment experience, past performance and other factors are very important, and personality, talent and mentality are also factors that need special attention. At the same time, the evaluation of the investment and research team is also essential. Only when a fund manager has a professional and stable investment and research team can he maximize his investment ability.
Thirdly, the decision-making process of private equity institutions is also an important indicator, and an efficient, compliant and complete decision-making process is the guarantee for the effective implementation of investment strategies.
Fourth, corporate governance is the core guarantee for private fund managers to do a good job in investment performance. An effective corporate governance model is conducive to the long-term development of private equity institutions, and also allows fund managers to focus more on investment, and will not be distracted by corporate governance and other issues.
Fifth, portfolio analysis is the most direct evaluation index to evaluate private equity funds, and it is also a method to examine whether fund managers are consistent in words and deeds or in knowledge and practice.
Generally speaking, investors can draw a comprehensive evaluation conclusion on private placement institutions and products by combining quantitative scoring with qualitative evaluation. Of course, if investors are interested, they can also directly use the evaluation data and investment models of some third-party private placement research institutions for screening and risk assessment. However, before buying a private equity fund, we must carefully study the contract, especially the private equity investment fund products with long investment cycle and high risk, and choose them carefully.