Glossary
« Back to Glossary Index
Private Equity Fund
« Back to Glossary IndexA private equity fund is a collective investment vehicle formed by private equity firms to pool capital from various investors. Typically, institutional investors, pension funds, and high-net-worth individuals contribute to the fund. The fund is managed by the private equity firm, which then uses the pooled capital to acquire ownership stakes in private companies. Private equity funds play a key role in financing and participating in the active management of businesses, aiming to generate returns for investors. The fund’s life cycle involves acquiring, optimizing, and eventually exiting investments, often with a focus on long-term value creation.
« Back to Glossary Index