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Private equity outperforms benchmark
The Australian Private Equity and Venture Capital Association Limited (AVCAL) confirmed that private equity and venture capital funds in Australia posted returns of 22 per cent in the 12 months to 31 December 2013.
Recent data compiled from 64 Private equity fund and 25 venture capital funds reveals significant new deal activity in the final quarter of last year has helped the asset class deliver returns 200 basis points ahead of the ASX 300 Index.
The Cambridge Associates LLC Australia Private Equity and Venture Capital Index (the CA Australia Index) reflected a significant pick-up in performance in the final quarter of 2013, gaining nearly 10 per cent compared to the ASX 300 Index which rose 3 per cent in the same quarter.
“We’re seeing significant new deal activity within the private equity industry at the moment, and we expect that many funds will maintain a focus on identifying new investment opportunities where growth can be unlocked through the injection of capital and skills,” AVCAL chief executive Yasser El-Ansary said.
The CA Australia Index also outperformed the ASX 300 Index over 1-year, 3-year, 10-year and 15-year time horizons, underscoring the higher returns from private equity for investors over multiple time periods, according to AVCAL.
“The 10- to 15-year returns demonstrate how investors with long-term horizons have been the big winners from this asset class,” he said.
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TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Global X GlobalX FANG+ ETF
33.51 3 y p.a(%)
2
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.62 3 y p.a(%)
4
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
