COMING SOON: Global Listed Private Equity ETF
Many of the most compelling investment opportunities cannot be found in the stock market.
98% of companies worldwide are private. Unlocking the investment opportunities in these companies has been the domain of venture capital firms and professional investors.
Until now.
Soon you will be able to invest with the smart money, gaining access to the start-ups, the buy-outs, and the project financing.
Many of the most compelling investment opportunities cannot be found in the stock market.
98% of companies worldwide are private. Unlocking the investment opportunities in these companies has been the domain of venture capital firms and professional investors.
Until now.
In another Australian first, VanEck will soon launch a Global Listed Private Equity ETF (ASX: GPEQ).
GPEQ will give you the opportunity to invest alongside the smart money, gaining access to the start-ups, the buy-outs, and the project financing. You could potentially access the next Afterpay, Google, eBay or AirBnB before they list on the stock market.
The opportunity
GPEQ will track the LPX50 Index that includes 50 listed private equity companies with exposure to venture, growth and buy-out opportunities. The companies will gain their exposure to private equity either:
- directly, that is the company invests directly in private equity from its own balance sheet;
- indirectly, by investing into private equity funds; or
- they are the private equity managers themselves.
The importance of private equity
Private equity has proven an attractive alternative source of growth historically commensurate with risk. Private equity investors have provided capital to companies to:
Accelerate growth and expansion | |
Acquire other companies | |
Buyout shareholders, partnerships or act as lenders | |
Acquire assets or fund projects |
Key risks
There are certain risks inherent in investing in listed private equity companies. Generally there is limited publically available information about unlisted privately held companies, and consequently there is a risk that investors in such companies may not be able to make a fully informed investment decision.
Published: 08 November 2021
LPX and LPX50 are registered trademarks of LPX AG, Zurich, Switzerland. The LPX50 Index is owned and published by LPX AG. Any commercial use of the LPX trademarks and/or LPX indices without a valid license agreement is not permitted. Financial instruments based on the index are in no way sponsored, endorsed, sold or promoted by LPX AG and/or its licensors and neither LPX AG nor its licensors shall have any liability with respect thereto.