Bank debt levels “outrageous”: Stanford professor
In 1840 equity funded more than 50 per cent of bank assets in the US, now it’s around 7 per cent. Banks would never lend to a business with no equity.
Recasting private equity after the financial crisis
This article published by the European Corporate Governance and written by Tilburg University academics examines the post-financial crisis trends in the private equity industry, showing investors are demanding the inclusion of more investor-favorable compensation terms in limited partnership agreements. The findings suggest these new terms not only provide the investors with more favorable management fee and profit … Read more
Integrity integral in search for managers: Mass PRIM
Integrity will form part of the due diligence process at Mass PRIM as it looks for private equity co-investment partners for the first time.
Active management: turning the argument on its head
One of the enduring areas of asset management academic study, and practitioner query, is whether or not managers have skill. In his work, professor of finance at Stanford, Jonathan Berk, shows the answer doesn’t lie in returns but in manager compensation. Determining whether active skill exists is not the same as looking at whether … Read more
Fiduciary investor think tank – delegate profile
Three finance professors from Stanford University presented their latest papers on active management, private equity and financial regulation, which were debated and work-shopped by US institutional investors in a one-day investment think tank. Chief investment officers from US public and corporate pension funds, endowments and foundations convened at Menlo Park, the home of Stanford University, … Read more
