Private Equity is a complicated asset class, which in itself consists of many different types of assets with significantly different risk-reward relationships. One of the most common misunderstandings is the fact that commitments equal actual investments. It does not. Moreover, investment is a lengthy process, and the assets are most often not liquid.

Here you can find graphical examples and explanations concerning these issues: Why fund-of-funds?, Liquidity and Cashflows, and Commitment versus investment.

Do not hesitate to contact us should you have any questions.