Inside Private Equity - 18 December 2024 broadcast

In this episode of Inside Private Equity, the show highlights two fundamental pillars of private equity performance: active ownership and a long-term perspective. Unlike public markets, private equity funds plan their investments by identifying and approaching companies several years before they are put up for sale. This proximity allows them to gain in-depth knowledge of the companies, build relationships with management, and secure a decisive informational advantage. Once the investment is made, the funds actively support the companies for several years, helping them navigate stages of growth and maturity, before preparing for their exit under the best possible conditions.The episode illustrates these mechanisms through the success story of the IAD Group, a disruptive player in the real estate sector operating without physical agencies, which has successfully leveraged digital technology and private equity to accelerate its growth in France and internationally. Bertrand Pivin’s (Seven 2) testimonial also demonstrates how private equity transforms companies over the long term by adapting their strategies to technological changes and creating value across multiple investment cycles. The section dedicated to institutional investors highlights advanced strategies such as co-investment, which allows for optimizing returns by gaining direct exposure to companies alongside the funds. Finally, the expert of the month notes that private equity remains largely inaccessible and complex to the general public, despite a gradual democratization driven by evolving investment offerings and vehicles.Overall, the program emphasizes the unique nature of private equity: a high-performing yet demanding asset class, based on a long-term vision, strong operational involvement, and a constant ability to adapt to economic and technological cycles.