Book description
In recent times, venture capital and private equity funds have become
household names, but so far little has been written for the investors in
such funds, the so-called limited partners. There is far more to the
management of a portfolio of venture capital and private equity funds
than usually perceived.
Beyond the J Curve
describes an innovative toolset for such limited partners to design and
manage portfolios tailored to the dynamics of this market place, going
far beyond the typical and often-simplistic recipe to 'go for top
quartile funds'.
Beyond the J Curve provides the answers to key questions, including:
- Why 'top-quartile' promises should be taken with a huge pinch of
salt and what it takes to select superior fund managers?
- What do limited partners need to consider when designing and
managing portfolios?
- How one can determine the funds' economic value to help
addressing the questions of 'fair value' under IAS 39 and 'risk'
under Basel II or Solvency II?
- Why is monitoring important, and how does a limited partner
manage his portfolio?
- How the portfolio's returns can be improved through proper
liquidity management and what to consider when over-committing?
- And, why uncertainty rather than risk is an issue and how a
limited partner can address and benefit from the fast changing
private equity environment?
Beyond the J Curve takes the practitioner's view and offers
private equity and venture capital professionals a comprehensive guide
making high return targets more realistic and sustainable. This book
is a must have for all parties involved in this market, as well as
academic and students.
DR THOMAS MEYER studied computer science at the
Bundeswehr Universitat in Munich followed by doctoral studies at the
University of Trier. He also holds an MBA from the London Business
School. After 12 years in the German Air Force he worked for the
German insurance group Allianz AG in Corporate Finance and M&A
with particular focus on Japan, and as the regional Chief Financial
Officer of Allianz Asia Pacific in Singapore.
Over the last years
Thomas has been responsible for the creation of the European
Investment Fund's risk management function. The focus of his work is
the development of valuation and risk management models and investment
strategies for venture capital fund-of-funds.
PIERRE-YVES MATHONET holds a Master of Science cum laude in
Finance from London Business School and a Master of Science magna cum
laude in Management from Solvay Business School, Brussels. He is also
a Certified European Financial Analyst.
He worked as an
investment banker in the technology groups of Donaldson, Lufkin &
Jenrette (DLJ) and Credit Suisse First Boston, and previously, for the
audit and consulting departments of PricewaterhouseCoopers.
He is
currently heading the venture capital activities within the Risk
Management and Monitoring division of the European Investment
Fund.
Together, as risk managers, the authors are responsible for
a portfolio of nearly two hundred private equity funds with more than
2. 5 billion committed and almost 5 billion under management.
