NZ private equity a great investment

Media release
Embargoed until 5pm, 3 November 2010
NZ private equity a great investment

NZVCA Chairman Kerry McIntosh says the new research completed by NZVIF on returns from private equity investment in New Zealand should help fund managers to attract investors.

“This research data, which is the most comprehensive analysis undertaken of private equity in New Zealand, sends a clear message to institutional investors that investing into private equity in New Zealand can deliver excellent returns.

“Private equity’s annual gross rate of return of 33 percent – over a 16 year period of analysing returns from investments - compares favourably to other investment categories.

“Private equity fund managers do create real value for investors. They do this by taking an activist approach to improving corporate operations across a diverse range of companies and industries.

This includes investing new capital, employing more people and growing sales both domestically and around the world.

“With the vast majority of major New Zealand companies in private ownership, private equity offers investors the opportunity to gain exposure to a large sector of the economy that has been traditionally been difficult to access."

ENDS

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