How can individual investors cash in on the boom?
A few publicly traded vehicles give investors an opportunity to invest in private equity, says John Stann, president of Stann Financial. For example, the PowerShares Listed Private Equity Portfolio is an ETF that tracks an index of companies whose main business is to invest in or lend money to private companies. The ETF launched in October 2006. Another option: so-called special-purpose acquisition companies, or SPACs, which sell shares to the public and typically use the proceeds to invest in private firms, typically within 12-18 months. Since 2004, 76 SPACs have launched, raising about $5 billion in IPOs. One example: Acquicor Technology Inc., formed by a group of technology executives including Apple Computer Inc.
