Private Equity
The term “private equity” denotes investments in unlisted companies with a development potential. This asset class has previously been limited to larger institutional investors because of the high minimum investment.
Value is created through active ownership. The manager participates in the development of the portfolio companies, with detailed development plans and close monitoring of each company’s operations and performance. This approach is typically supported by incentive models for management which ensure that its interests are aligned with those of the owners.
Private equity is an asset class that suits investors with a long-term perspective. Funds usually have a time perspective of 5+ years, but can be extended if necessary. It normally takes several years before funds begin to repay capital to investors.
PREM is currently focused on private equity in China and provides access to a unique onshore investment structure through a fund-of-funds model.
PREM currently manages two fund-of-funds: PRE China Private Equity I AS and PRE China Private Equity II AS.