1、外文标题： The Risk Profile of Private Equity Fund-of-Funds 外文作者： Tom Weidig, PhD, Quantexperts, Esch-Alzette, Luxembourg, Andreas Kemmerer 文献出处 : Social Science Electronic Publishing , 2004 , 7 (4) :935-944 英文 1389 单词， 6988 字符，中文 2278 汉字。 此文档是外文翻译成品，无需调整复杂的格式哦！下载之后直接 可用，方便快捷！只需二十多元。 &n
2、bsp;The Risk Profile of Private Equity Fund-of-Funds Tom Weidig, PhD, Quantexperts, Esch-Alzette, Luxembourg, Andreas Kemmerer ABSTRACT Private equity fund-of-funds (FoF) investments are now contributing more than 10% of the capital to private equity, i.e. venture capital and buyout. However,
3、their risk profile is not well understood due to the opaque and illiquid market, and the limited access to performance figures. FoFs need to understand their risk profile, if they are to convince potential investors of their lower risk. Research on direct and funds investment exists. Directs show si
4、gnificant variability of returns with a significant probability of a total loss and extreme profits. Funds are less risky, because they invest in up to twenty direct investments. We show that FoFs even further significantly reduce the risk due to diversification. To this aim, we present a framework
5、to construct the risk profile of FoFs using funds performance data. We also discuss the choosen data source, and the results of the simulations. INTRODUCTION A fund-of-funds (FoF) collects capital from investors to invest in about 20 or more funds on their behalf. FoF investors are typically pension
6、 funds, banks, insurance companies, corporate investors, and other FoFs. The first private equity FoF was raised in 1978. FoFs have increased their share considerably over the last years, and now provide around 10% of the capital of funds. In 2002, 67 FoF managers existed in the US, and 49 FoF managers in Europe. They manage about $130 billion. FoFs allow investors to easily invest and diversify on a global basis. They typically charge a management fee of around 0.5% per year, and participate in the profits with
