How does an individual go about investing in private equity funds?
There are essentially two ways to go about investing. One way is to invest directly into the investment firm or private equity company. These firms create private equity funds and most investors actually invest their money into these funds. There is a private placement memorandum that can be got through intermediaries like investment bankers, and this document contains all the fund details that an investor might need to know. There are also domestic private equity funds that have been launched in India. These are regulated by Sebi and investors can put their money into these funds as well. The offering memo for the same is given out on a private placement basis. How do PE funds typically approach investors for participating in these opportunities and also, how could high net worth individuals seek private equity players? The private equity firms after starting a fund, approach the investment bankers who act as brokers for the firm, in regards to that fund. The firms usually pay us a pl
