Robeco - Alternative investing: In it for the long haul with private equity

Private equity has much in common with equity investment, given that both involve investing your own assets in businesses. The main difference is that in private equity a premium can theoretically be harvested due to its illiquid character.

In summary:
- Investing in private equity is typified by very low liquidity
- The reward for low liquidity should theoretically be an above-average return
- The selection of the right manager is the key to success