Monte Carlo-style simulation analysis for private equity portfolio modeling
In this blog post, Alex Billias and Jake Ledbetter discuss how Bella Private Markets uses Monte Carlo- style simulation methods and historical data to model the cash flows and valuations of portfolios of private equity funds. They also explore how investors and fund managers alike can benefit from this powerful, customized approach to modeling risk and returns.
Private Equity Findings Issue 14
Bella Private Markets collaborated with the Coller Research Institute to produce the fourteenth issue of Private Equity Findings, a publication that curates the most important cutting-edge academic research on private equity and brings together leading practitioners to discuss its implications. This issue examines whether the current size of the private equity industry poses a risk to the wider economy, "unicorn" valuations, how to value originality in companies, the rise of co-investments, and the relative performance of funds-of-funds, among other topics.
Why should private equity care about social impact?
While critics of the private equity industry lambaste it as being exploitative and short-sighted, in reality PE firms are increasingly turning their attention to social impact and long-term value creation. Initially spurred on by asset owners and shifting industry dynamics, fund managers are now finding that ESG considerations can also help boost fund returns. Furthermore, PE investors are uniquely positioned to enact impactful positive changes in their portfolio companies. In this Bella Insight, associate Shonali Pal explores these topics and shares some of the exciting ways that Bella clients have been at the forefront of this trend.
Private Equity Findings Issue 13
Bella Private Markets collaborated with the Coller Research Institute to produce the thirteenth issue of Private Equity Findings, a publication that curates the most important cutting-edge academic research on private equity and brings together leading practitioners to discuss its implications. This issue examines how private equity ownership affects product pricing, the impact of management teams on company performance, persistence of returns among fund managers, and the status of entrepreneurship in the United States, among other topics.
Women- and minority-owned managers make up small part of industry, study shows
The study conducted by Bella Research Group and released by the John S. and James L. Knight Foundation, which examines diverse ownership in the asset management industry, showed that across four asset classes examined — hedge funds, mutual funds, private equity funds and real estate funds — firms owned by minorities and women represent just 1.1% of $67.1 trillion in assets under management as of June 30.