What Private Equity Investors Think They Do for the Companies They Buy
Harvard Business Review
JUNE 18, 2015
We also know that private equity funds have outperformed public equity markets over the last three decades , even after the fees they charge are accounted for. ” PE firms typically take three types of value increasing actions — financial engineering, governance engineering, and operational engineering. In operational engineering, PE firms develop industry and operating expertise that they bring to bear to add value to their portfolio companies.