The Private Equity J-Curve, Modeled for One Household
The cash J-curve is arithmetic. In an illustrative model, one fund goes about 79 percent underwater by year 4. Pacing shrinks the hole.
The Private Allocator
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Angel, venture, private equity, credit, real assets and small-business deals, compared on what each asks of you: cash, time, paperwork, and how long your money is locked up.
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Showing 9 posts with tag: Portfolio construction
Private Market Returns: Read the Spread, Not the Average
Legacy US PE and venture median vintage-level quartile gaps of 12.3 and 13.2 points. The asset-class average is the least useful number to read.
Accredited Investor Options: Could Your Money Be Locked Up?
Compare accredited investor options by exposure, lockup and the work each asks of you. Legal eligibility is not the same as affordability.
Write Down What the Money Is For Before You Sign Anything
Write a family investment policy around what the money is for, cash limits, responsibility and review triggers, with blank prompts to decide whether to commit.
The Family Office Average Isn't Your Family.
Read family office allocation surveys with care. Check the sample, wealth measures and spending needs before applying their lessons to your own portfolio.
If You Can't Find the Document, You Don't Know the Number
Make private investment administration easier to follow. Keep documents, commitments, cash received and valuation dates in one record.
Your Business, Your Job and Your Fund May Be the Same Bet
Examine private investment concentration across business, work and property. Map shared risks and record missing information before your next commitment.
Capital Calls Don't Wait: Build a Liquidity Budget
Build a private investment liquidity budget that separates what you must pay, accepted commitments and uncertain distributions, with a blank cash calendar.
A Good Quarterly Letter Is Not a Distribution
Use a private portfolio review to separate reported values from cash received, challenge strategy labels, and give unanswered questions a follow-up owner.