Have Private Equity Returns Really Declined?

Some research suggests that private equity returns relative to public market equivalents have declined. This analysis provides our perspective based on more recent data and performance measures. We show that returns in vintage years since the financial crisis have consistently been better than public market returns using a variety of benchmarks and adjustments, and better than returns from the 2006 to 2008 vintages. Consequently, the historical perspective is more positive than suggested by some other studies. TOPICS: Private equity, performance measurement, financial crises and financial market history