Table of Contents

Part I Introduction

1. Private Equity: An Overview
H. Kent Baker, Greg Filbeck, and Halil Kiymaz

2. The Economics of Private Equity: Background and Benefits
Shantanu Dutta, Arup Ganguly, and Lin Ge

3. Private Equity in the United States and Europe: Market and Regulatory Developments Alexandros Seretakis


Part II Major Types of Private Equity

4. Venture Capital in Europe: Myths and Reality
Jean-Michel Sahut and Eric Braunne

5. Leveraged Buyouts
Christian Rauch and Marc P. Umber

6. Mezzanine Capital and Commercial Real Estate
J. Dean Heller

7. Distressed Investments
Stephen G. Moyer and John D. Martin


Part III How Private Equity Works

8. Valuing Private Equity
Harlan Platt and Emery Trahan

9. Cost of Capital for Private Equity
Alain Coën and Aurelie Desfleurs

10. Liquidity Issues in Private Equity: Lessons Learned in the Post-Financial Crisis
Elif Akben Selcuk and Ayse Altiok Yilmaz

11. Private Equity Portfolio Management: Challenges, Approaches, and Implementation Thomas Meyer and Tom Weidig

12. The Role of Private Equity in IPOs: The Case of Venture Capital Firms
Shantanu Dutta, Arup Ganguly, and Lin Ge

13. Exit Strategies in Private Equity
Didier Folus and Emmanuel Boutron


Part IV Performance and Measurement

14. Historical Performance of Private Equity: Cross-Country Evidence
Kenneth Small and Jeff Smith,

15. Benchmark Biases in Private Equity Performance
Robert Spliid

16. Return Persistence: Finding a Top Quartile Manager
Adrian Oberli

17. Private Equity Due Diligence
Manu Sharma and Esha Prashar


Part V Private Equity: Uses and Structure

18. Institutional Investors and Private Equity
Parvez Ahmed

19. Private Equity and Value Creation
Peter Harbula

20. Compensation Structure
Ji-Woong Chung

21. Global Regulatory and Ethical Framework
Henry Ordower


Part VI Trends in Private Equity

22. Private Investment in Public Equity
Na Dai

23. Listed Private Equity
Douglas Cumming, Grant Fleming, and Sofia Johan

24. Private Equity Growth in International and Emerging Markets
Alexander Peter Groh

25. Diversification Benefits of Private Equity Funds-of-Funds
Alex Buchner and Markus Kuffner

26. Publicly Traded Private Equity
Henry Lahr

27. The Future of Private Equity: A Global Perspective
Dianna Preece

About the Author

H. Kent Baker is a University Professor of Finance in the Kogod School of Business at American University. Professor Baker has authored or edited 24 books and has published more than 150 refereed articles in such journals as the Journal of Finance, Journal of Financial and Quantitative Analysis, Financial Management, Financial Analysts Journal, and Journal of Portfolio Management. He has consulting and training experience with more than 100 organizations.

Greg Filbeck is a Samuel P. Black III Professor of Finance and Risk Management at Penn State Erie, the Behrend College and serves as Associate Director and Department Chair of Finance & Economics for the Black School of Business. Professor Filbeck has authored or edited seven books and published more than 75 refereed academic journal articles appearing in such journals as the Financial Analysts Journal, Financial Review, and Journal of Business, Finance, and Accounting.

Halil Kiymaz is Bank of America Professor of Finance in the Crummer Graduate School of Business at Rollins College. Professor Kiymaz has published more than 70 articles in scholarly and practitioner journals and co-edited three books. His research has appeared in such journals as the Journal of Banking and Finance, Financial Review, Global Finance Journal, Journal of Applied Finance, Journal of Economics and Finance, and Review of Financial Economics. Professor Kiymaz also serves on the
editorial board of four journals and is the area editor of the International Journal of Emerging Markets. He has consulting and training experience with various organizations.

Reviews

"Private Equity has been the subject of a great deal of criticism and concern, especially in the wake of the financial crisis. Because it involves private ownership instead of public listing of securities, many of the industry's practices and features remain shrouded in mystery. This book provides a broad, yet thorough, synthesis of the key issues of concern to investors, policy makers and academics alike. The book is a great resource for anyone who wants to
gain a broad understanding of the past, present and future of the industry."

David T. Robinson, Professor of Finance and J. Rex Fuqua Distinguished Professor of International Management, Fuqua School of Business, Duke University