January 30, 2020

Why it makes sense to sell non-performing private equity funds, even at a discount

LPs would be much better off selling their non-performing private equity funds, even if it’s at a massive discount to book value. Instead, many end up selling their best funds at a price around NAV, leaving considerable money on the table.


In this second in a series of accompanying videos to the recent Multiplicity Perspectives publication, Partner Andres Hefti and Director Melissa Ackermann argue why top-quartile funds should trade at double-digit premiums, while bottom-quartile funds should trade at discounts of 50% and above. Read or download the full Multiplicity Perspectives publication as a PDF here.