European Financial Management, forthcoming
Year: 2010
Type: preprint
Abstract: This paper examines institutional investors’ propensity to invest in a relatively unknown asset class of listed private equity. Based on data provided by LPEQ, Preqin and Scorpio Partnership covering 171 institutional investors in Europe in 2008-2010, we find allocations are primarily a function of size, type, location, decision-making authority and liquidity preferences. Investment in listed private equity is more commonly made by institutions that are smaller, private (not public) pension institutions, institutions that have a preference for liquidity, quick access, and administrative and cash flow management simplicity, and institutions that are based in the UK, Switzerland, Sweden and the Netherlands. As well, institutions are less likely to invest in listed private equity when investment decision-making is empowered to an alternative asset class team. JEL Codes : G23, G24 Keywords : Institutional investment, pension funds, listed private equity
Source: SSRN Electronic Journal
Authors: Douglas J. Cumming, Grant Fleming
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2417075641