NBPE's Luke Mason: Dispelling the myths around private equity

'Essential to unlocking growth'

Private equity is often misunderstood, thought of as chasing quick profits through aggressive tactics, where the benefits are enjoyed by a select few at the expense of the broader economy.

But today's PE is increasingly focused on fostering long-term growth, promoting transparency and ensuring accountability. With companies staying private for longer, PE has become essential to unlocking growth in small and mid-sized entities. While the global PE market has grown to $5.3trn today, it still only equates to the combined capitalisation of Microsoft and Amazon, meaning there is plenty of scope for ongoing expansion. Here are five common misconceptions surrounding the burgeoning asset class. Myth one: ‘It is all about leverage and asset stripping' One of the most per...