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Private equity investments

Private equity investments involve investing money directly into private companies or buyouts of public companies, with the goal of improving their performance and increasing their value over time. Investors, often institutions or wealthy individuals, provide capital to help these companies grow, restructure, or expand. After several years, the private equity firm aims to sell the company at a profit. These investments are typically less liquid than stocks, meaning they’re held for longer periods and require a higher level of expertise to manage effectively. Overall, private equity seeks to generate higher returns by actively improving companies outside the public markets.