"Inside Private Equity" explores the complexities of this asset class and introduces new methodologies that connect investment returns with wealth creation. By providing straightforward examples, it demystifies traditional measures like the IRR and challenges many of the common assumptions about this asset class. Readers take away a set of practical measures that empower them to better manage their portfolios. James M. Kocis (Hoboken, NJ) is the founder and President of the Burgiss Group, one of the leading software and financial service providers to the private equity industry. James C. Bachman IV, CAIA (Hoboken, NJ), is a Senior Associate at the Burgiss Group. Austin M. Long III, JD, CPA (Austin, TX), is a cofounder of the Alignment Capital Group, a private equity consulting firm. Craig J. Nickels, CFA (St. Louis, MO), is Director of Private Markets for Washington University in St. Louis, where he oversees the University's endowment
Foreword
Preface
How to Use This Book
Pt. 1 Setting the Foundation
Ch. 1 Background
Ch. 2 Private Equity Perspectives
Ch. 3 Managing the Investment Process
Ch. 4 Capturing a Portfolio
Ch. 5 Tracking Portfolio Holdings
Pt. 2 Measurements and Comparisons
Ch. 6 Standard Measures
Ch. 7 The IRR
Ch. 8 Universe Comparisons
Ch. 9 Flawed Research Methodologies
Ch. 10 Visualizing Private Equity Performance
Ch. 11 The IRR and the Public Markets
Pt. 3 Topics on Risk
Ch. 12 Performance Attribution
Ch. 13 The Concentration of Wealth
Ch. 14 The Diversification of Portfolios
Ch. 15 Cash Management Models
Pt. 4 Conclusions
Ch. 16 The Private Equity Professional
Ch. 17 Summary
APPENDIX A Proposed Venture Capital Portfolio Valuation Guidelines
APPENDIX B On-Site GP Audit Program Guide
APPENDIX C Qualitative Due Diligence: Structured Interview
