7.2. The Four Pillars of Equity Investment
Vehicles dedicated to equity investment have a specific value chain with phases and organizational functions that can be classified worldwide. For each phase there is a different contribution from management and the advisory board and the Board of Directors. The typical phases of equity investment are fundraising, investing, managing and monitoring, and exit.
Fundraising is the promotion of a new equity investment vehicle within the business community; the purpose is to find money and create a commitment. The main motivation, considered by investors during the selection of the funds, is based on obtaining returns higher than those offered by the financial market. Private equity investors ...