Question

True or False: Assuming a typical Private Equity Fund structure with a 10Y life, the first...

True or False: Assuming a typical Private Equity Fund structure with a 10Y life, the first 3Y to 5Y are referred to as the Harvest Period and the last 5Y to 10Y are referred to as the Investment Period.

Agree

Disagree

Homework Answers

Answer #1
FALSE
Disagree with the statement
In typical private equity fund structure with 10 year life -
First 3 to 5 years referred as -   Investment Period
Last 5 to 10 years are referred as - Harvest Period
Investing period - Is the period where fund are invested
in its core portfolio companies
Harvesting Period - In harvesting period , focus on exit.
Harvest period come after investment period.
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