Nawaz is a Webmaster at Starling Group http://www.starlinggroup.com
Private equity investment is money invested in companies that do not trade on the public stock markets. Private equity investments run the scope of corporate finance strategies from financing new companies to infusing capital in established companies. Channels that include private equity include: leveraged buyouts, venture capital, real estate & special situations. Private equity fund managers negotiate acquisition prices and terms to often obtain significant control of billion dollar ventures. They take a vigorous role in monitoring and directing the companies in which they invest. They frequently change management to ensure their strategic plans are implemented forcefully and efficiently under 100 day plans. This provides them the opportunity to enhance returns by directly influencing the company and eventually creating value. While private equity investments typically span five to eight years, quick flips of two years or less are not uncommon. Here's a quick idea to some of the other investment options.
Mutual Funds; a mutual fund is ideally a professionally managed pool of cash from a group of investors. A fund manager invests your funds in securities, including stocks & bonds and decides the right time to buy and sell adhering to the fund’s stated investment objective (eg, capital preservation, growth, income, etc.)
Savings Accounts; along with mattresses are a fine place to keep your crisis funds.
Money Market Accounts; generally make somewhat higher interest than a savings account but still permit easy access to your funds.
Bonds; when you buy bonds you basically loaning money to a corporation for a definite period of time, known as term. The bond certificate promises that the issuing body will pay you back the principal on a particular date with periodic fixed interest payments at the coupon rate.
Stocks; similarly when you purchase stocks, you technically own a piece of a company’s assets. If the company performs well, you may receive intermittent dividends and be in position to sell your shares of stock at a profit, generating a tax liability in many countries.
- Related Videos
- Related Articles
- Ask / Related Q&A
- This Is What Venture Capital Entails
- Venture Capital Investments: Find the Right Firm to Attain Long-Term Goals
- Venture Capital In Arkansas - What You Should Know
- Things Anyone Should Know About Venture Capital Investment
- The Fundamentals And Life Cycle Of Venture Capitalism
- Venture Capital Investments in China Consultant Marketing in China
- Start-up Success: How to Find Venture Capital
- What You Can Expect From a Venture Capital Firm
Stock Market History- How The Stock Market Has Grown Over Time
By: Peter Gitundu | 30/11/2009The stock market has a long history, traced back to the United States, over 100 years ago. The government that was in place then, thought of funding the war that was going on through selling of bonds and government promissory notes.
Using foreign currency brokers for money transfers
By: Brigette | 30/11/2009Whenever money is traded abroad, either for business or personal use, the currency exchange rate comes into play. This varies depending on who you use to do the transfer. Most people will automatically go to their bank, lured by the promise of low money transfer charges or good exchange rates.
Shin Kong Wedbush Reiterates a 'Buy' Rating on Agnico-Eagle Mines (AEM)
By: Ken Chen | 30/11/2009Shin Kong Wedbush analyst says, "While there was an earnings miss and 2009 guidance was modestly reduced, the project development schedule remains on track. Our 2010 production forecast is essentially unchanged though we have increased our total cash cost estimate due to higher assumed site costs at both LaRonde and Goldex.
Shin Kong Wedbush has Three Reasons to Buy Las Vegas Sands Today
By: Ken Chen | 30/11/2009Historically, tumultuous times offer some of the best opportunities to buy stocks, and the market's recent mess surely qualifies. Many investors are keeping their distance from casino and gaming stocks these days, but a good deal still think there's value in casino operator Las Vegas Sands (NYSE: LVS).
Research in Commodity Trading
By: Andrew Abraham | 30/11/2009There are those in the camp that successful commodity trading can be achieved from research. Honestly I am in the camp of being a trend follower…having no opinions..and simply reacting to price with a strong focus on risk.
A Look Into High Volume Penny Stocks
By: Ben Lardes | 30/11/2009Are you thinking about sinking some cash into penny stocks? If you are it is vital to learn all you can about them first.
Indian stocks: The trading circle starts all over again!!
By: kamlesh shukla | 30/11/2009Of late, Indian stocks have hit the purple patch and with both the Sensex and the Nifty surging up by quite a margin in no time, it can be very well construed that a new trading circle has just begun.
Forex Review System Trading: How To Choose The Best One
By: Alan Lim | 30/11/2009Making money from forex trading is something that is gaining popularity day by day. Most of the people make use of the appropriate forex review system trading to minimize their risks and to maximize their profits.
How to Deal with your Work Force in Financial Crisis
By: Nawaz Shahzad | 12/05/2009 | Career ManagementIn the current economic downturn there is an undeniable pressure to decrease headcount, support costs and office expenses. At the same time companies must focus on attracting and retaining high caliber talent from the global marketplace.
The Three D’s - Investment Strategies 2009
By: Nawaz Shahzad | 05/05/2009 | InvestingApproximately 30 trillion US dollars in global wealth evaporated during 2008. GCC investors were not excluded from the fray. The prevailing sentiment of the past decade was that the region’s oil resources would keep the GCC economies on an unperturbed expansion. Ultimately what has happened, the plunging economies have led to an abrupt drop in demand. The subsequent commodity price fall was exacerbated by speculators (hedge funds) clamoring for the doors.
Impact of the Global Credit Crisis
By: Nawaz Shahzad | 30/04/2009 | InvestingThe GCC economies had been impervious to the global credit crisis for the better part of 12 months. While many people believed that the Middle East’s oil wealth would protect their economies from the crisis, these expectations have proved baseless. The falling equity values impaired sovereign wealth funds and lack of access to credit derailed numerous grandiose property development plans leaving some skylines littered with idle cranes
Financial Recovery & Growing Risk
By: Nawaz Shahzad | 19/04/2009 | InvestingThe year 2009 will test the patience of GCC investors as local economies are challenged to maintain the growth rates of recent years that were propelled by oil revenues. The UAE is likely to see a tightening while other countries, especially Saudi Arabia may follow suit.
Private Equity Focus In 2009
By: Nawaz Shahzad | 14/04/2009 | InvestingPrivate equity as a source of capital for evolving companies has seen tremendous growth in the MENA region during the last few years. MENA focused mergers and acquisitions activity has grown from less than $4 billion in transactions in 2002 to over $30 billion in 2007.
Leveraged Buyout (LBO) to Make Large Acquisitions
By: Nawaz Shahzad | 07/04/2009 | InvestingA leveraged buyout (LBO) occurs when a financial sponsor gains a controlling interest in a firm’s equity and where a major % (percentage) of the buying value is financed through borrowing. The possessions of the obtained firm are often used as collateral for the borrowed money, sometimes with assets of the acquiring company.
Survival In Financial Recession
By: Nawaz Shahzad | 23/03/2009 | InvestingBusiness standing firm during a recession is no easy thing. Cash is stiff, and for most businesses this is a nightmare which adversely affects productivity because of the on going global financial melt down, and the cycle continues. Now the first solution to surviving a recession is to understand that it will be over shortly.