EDHEC Infra & Private Assets

How Risky is Private Equity? Exploring the Manufacturing & Natural Resources Sectors in Europe. Private equity offers high returns but comes with considerable risk, including return dispersion and unfavourable exits. Using privateMetrics with PECCS taxonomy, we analysed the Manufacturing and Natural Resources sectors in Europe, uncovering how different their risk profiles can be. Our analysis revealed that Natural Resource companies have had more volatile revenues and profitability over the past 10 years, leading to more volatile valuations and returns compared to Manufacturing companies across all historical time periods. Accurate private asset risk measurement requires data that captures changes in the risk premium to which investments are exposed. To reflect these risks, privateMetrics indices and benchmarks, which are asset-based, use monthly updates from market transactions to reprice private companies, ensuring accurate benchmarks that track both market prices and segment-specific risks. Read the full insight here: https://lnkd.in/eCUHVPKA Find out more in the latest privateMetrics Indices factsheet: https://lnkd.in/eRQcyqZK

EDHEC Private Assets Day, December 11th, New York! Don’t miss an exclusive opportunity to explore key topics in quantitative research on private markets and engage with leading industry professionals. See the full agenda and RSVP here: https://lnkd.in/eUbvXSe4

📈📊 August 2024 privateMetrics Data Release Now Available! We are proud to be the only❗️data provider offering monthly data releases for investors in private assets. Our latest update for August 2024 is now live, featuring privateMetrics Market Indices, a series of flagship indices built from a representative dataset of 5,000+ private companies worldwide, reflecting the global private equity market at the asset level. privateMetrics Indices & Benchmarks provide access to over 5,000 index constituents, 80+ index analytics, and 10+ years of data, capturing the performance of private companies across 30+ key markets. 🔗 Download the factsheet with the latest data here: https://lnkd.in/eRQcyqZK #PrivateAssets #DataRelease #privateMetrics #PrivateEquity #Finance #Benchmarking #makeanimpact

Is Thames Water heading towards nationalisation as financial troubles deepen❓ Tim Whittaker, Research Director at EDHEC Infra & Private Assets , was interviewed last Friday on BBC Radio 5 Live’s flagship business program, "Wake Up to Money". During the segment, which ran from 30:25 to 36:02, Tim discussed the financial troubles of Thames Water, which recently faced a downgrade of its Class A debt rating to sub-investment grade. He explained that the company has accumulated too much debt, and with rising interest rates, it is now struggling to refinance and repay. Thames Water, which serves 16 million people, is facing a potential cash shortage by December. Despite the financial crisis, Whittaker reassures that water services will continue uninterrupted, but government intervention might be necessary. He also noted that large infrastructure investors, including sovereign wealth funds, are hesitant to invest in water companies due to the uncertainty and poor financial health within the sector. 🎧 You can listen to the full interview here: https://lnkd.in/dYVCBjZa 📘 To learn more about EDHECInfra’s research on Thames Water, access their latest paper, "Low Tide: What the Data Showed About Thames Water", here: EDHECInfra paper. This report explores what investors in Thames Water and its holding company Kemble Water could have learned about the risk level of their investment and its likely market value, comparing it to market and peer group data.

We look forward to welcoming you to our Private Assets Day conference! Don’t forget to RSVP to secure your spot and join us for a day of insightful discussions and networking opportunities. https://lnkd.in/eUbvXSe4

PRESS RELEASE: New Private Market Equivalent allows the alpha of private funds to be tracked. In a newly released publication, "Private Equity & Infrastructure Fund Selection and Alpha Tracking", Scientific Infra & Private Assets (SIPA) has presented an approach to measure and track the alpha of private market funds, allowing robust and representative fund selection and monitoring. Read the Press Release for more details:

In our latest Supplement, we examined #ESG risks and their implications for the investment community, the impact of #climaterisk on global #infrastructureinvestments, and presented our most recent research insights into portfolio construction and #riskmanagement for infrastructure investments. 🌱 Using Taxonomies to Qualify the Sustainability of Infrastructure Investments 📊 Social Risk Indexing and Rating for Infrastructure Investors: The Case of the UK Water Sector 🌍 Computing Extreme Climate Value for Infrastructure Investments: Asset Pricing Applied to NGFS Phase 4 and Oxford Economics Scenarios to Measure Climate Risks at the Asset Level 🔍 Physical Climate Risk Survey: Industry Concerns and Data Gaps 🚰 Low Tide: Benchmarking Risks in Infrastructure Investments – A Case Study of Thames Water 📈 Achieving Diversification in Unlisted Infrastructure Investment: A Smart Infra Portfolio Construction Read the full supplement here: https://lnkd.in/e8gfWAbc

Measuring risk and performance in private equity presented by Abhishek Gupta Associate Director and Head of Product Development @scientific infra and Private Assets! For more content follow us on LinkedIn at Markets Group! #MarketsGroupPE

In private equity, having the right data is essential across all aspects of the #investment process, supporting everything from #riskmanagement and #assetallocation to valuation, reporting, and beyond. Join us at EDHEC Private Assets Day 2024, where we will explore the latest in quantitative research for private markets. The morning sessions will focus on private market dynamics and measuring managers' alpha, while the afternoon sessions will be dedicated to liquidity solutions and strategy decisions: ▶ Private Markets - Buy, Sell or Hold? ▶ Do Private Asset Managers Outperform Private Asset Markets? ▶ Alternative Liquidity Solutions - Getting it Right ▶ Private Asset Allocation - Avoiding the Denominator Effect RSVP now – places are limited!

In the past couple of months, I met with many investors in the private asset space in the US and Europe. I have been struck by the growing concern over private asset valuations but even more importantly by the absence of objective measures of risk. Private markets are risky and investors need to understand these risks to make investment decisions. https://lnkd.in/g-TfYjrH EDHEC Infra & Private Assets