Experts from Cambridge Associates, Guardian Life, and Coller Capital discuss why institutional investors are allocating to infrastructure, and how a new index is helping define a performance benchmark for investors in the sector. Introducing the Impact Investing Benchmark For the sake of brevity, the phrases “private investments” and “Impact Investing Benchmark” are used throughout this report. Cambridge Associates 3Q15 U.S Private Equity Index & Selected Benchmark Statistics VW Staff 2016-02-09T11:17:15-04:00 Cambridge Associates U.S private equity index & selected benchmark statistics for the third quarter ended September 30, 2015. the number of individual transactions by 13%, to 2,936 worldwide—but total buyout value jumped 10% to $582 billion (including add-on deals), capping the strongest five-year run in the industry’s history (see Figure 1.1). StepStone Group report to the New York City Employees’ Retirement System, Private Equity Portfolio as of March 30, 2020. While outperformance from diverse-owned private equity firms may come as a surprise to some, it is not a surprise to the increasing number of institutional investors that have come to rely upon the alpha generated by diverse-owned firms to increase the funded status of their pension plans Published Data: When the vast majority of a benchmark group’s (organized by asset class, e.g. “The results are interesting,” said … ILPA asks its members for their portfolios, aggregates the list and passes all the information to Cambridge, which then runs its benchmark on the institutional fund set. One way to estimate beta is to analyse the realized cash flows of buyout … There will be data for U.S. buyouts and ex U.S. buyouts. ... growth equity, buyout, mezzanine and private equity energy funds. Pitchbook.com, accessed Dec 5, 2020. The index is designed to provide tradable exposure to the leading publicly-listed companies that are active in the private equity space. ... Includes Growth Equity, Buyout, Subordinated Capital and Private Equity Energy funds and investments; Data as of 2015 Q4. Cambridge Associates will now post global leveraged buyout performance benchmarks on its web site each quarter. This misalignment took its toll on returns, with Cambridge Associate’s PE energy benchmark returning only 11.9 per cent by the end of 2013, versus 15.8 per cent for broad PE funds, on a trailing five-year basis. The S&P Listed Private Equity Index comprises the leading listed private equity companies that meet specific size, liquidity, exposure, and activity requirements. When PME values are generated for many funds, they can be used as an alternative measure of ranking fund performance, while controlling for broader market behaviour. The Cambridge Associates (CA) Private Equity Index is a pooled horizon IRR calculation based on quarterly data compiled from 2,193 private equity funds (buyout and growth equity), including fully liquidated partnerships, formed between 1986 and 2019. The Cambridge Associates’ benchmarks are reported on a one-quarter lag from the end of the performance quarter due to the reporting time frame of private investments fund managers. Such a benchmark is representative of the private equity industry but should not be used to benchmark an investor’s private equity portfolio, as the ... (i.e. Cambridge Global Capital (CGC) is a private investment firm focused in the following areas: early stage venture capital opportunities in life sciences, national security, cybersecurity, sustainable energy opportunities, and leverage buyout opportunities in smaller companies in the defense sector. Source: Cambridge Associates Median US Buyout Benchmark as of 9/30/19 . Unlike other These observed valuations fuel a sophisticated econometric methodology that About Cambridge Associates and … Sources of Benchmark Data Our benchmark database utilizes the quarterly unaudited and annual audited fund financial statements produced by the fund managers (GPs) for their Limited Partners (LPs). Index is constructed from observed valuations of private equity- owned firms at discrete points in time. In this simple example, if the average buyout fund has 50% leverage, then the benchmark should be 1.5 times the buyout fund returns. US PE/VC Benchmark Commentary. For two of those time periods, the one-year… for the Cambridge US Buyout benchmark for the same period. In contrast, gains in operating performance are either comparable to or slightly exceed those observed for benchmark firms. Profiles of private equity & venture capital firms. For the subsample of deals with post-buyout data available, median market adjusted returns to pre- and post-buyout capital invested are 78% and 36%, respectively. Diverse-owned firms generated a net of fee Internal Rate of Return (IRR) of 16.15% for the ten-year reporting period ending in December 2015, compared to 11.3% (IRR) for the Cambridge US Buyout benchmark for the same period. such the TR PE Buyout Index is an appropriate benchmark for investable products seeking to track private equity returns. The Thomson Reuters PE Buyout Index (TRPEI) is published daily. Based on pooled return benchmark for 2011 funds of 13.97%, TVPI benchmark of 1.69x, Cambridge Associates Private Equity Index and Benchmark Statistics, Jun 30, 2020.