hey can someone explain to me what private equity is? thx so much?
- Anonymous1 decade agoFavorite Answer
first answer is correct, but private equity might also be private funds to support a fund or company
for example a small or new llc or corp might offer investment shares for capital contributions. this would be known a private placement offering and thus a private equity investment.
this could be done for any type of co, manufacturing, financial services, investment co, real estate, etc.Source(s): 15 yrs in trading/real estate/fund mgmt of private fund
- 1 decade ago
private equity on real estate in lay man terms is like your share on the full value of the house and lot... assume it is appraise at 100k and you have a loan of 50k then your private quity is 50% which the balance you can still borrow from private sources