Private Investment Fund
Categories: Managed Funds, Entrepreneur
Shhhhh. Be vewy quiet. We’we hunting pwafits.
Ok, people. It’s private. Yes...private. Private means not subject to the onerous rules of public market investing.
That is, when it’s only wealthy big boys and girls putting in their dough, the presumption is that they have their own lawyers, their own risk tolerances, their own Ivy League educations, and they can figure out the deal on their own. They don't need government training wheels the way they do in public offerings, publicly traded securities, and so on.
So who does this apply to? Like...what investment vehicles?
Hedge funds. Private equity funds. Venture capital funds. And other whispery vehicles we can’t tell you about.
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Finance: What is a Private Investment Co...3 Views
Finance a la shmoop what is a private investment company Shh we are hunting [Elmer Fudd appears from a bush]
profits okay people it's private yes private private means not subject to
the onerous rules of public investing and all that regulation that is when [Definition of a private investment company]
it's only wealthy big boys and girls putting in their dough the presumption [Wealthy people giving money to the market]
is that they have their own lawyers their own risk tolerances their own Ivy
League education and they can figure out the deal on their very own they don't
need mama government training wheels the way the public does in public offerings [The public riding a bike as the stabilisers are taken off]
with publicly traded securities and so on like private wealthy educated
investors get treated differently than Jo farmer who you know just graduated [Guy talking as Elmer Fudd keeps appearing in the background]
high school so who all does this apply to like what's a private investor what
investment vehicles are involved well hedge funds you know those go to private
wealthy investors private equity funds same deal and venture capital funds same
deal why because they go bankrupt all the time you can lose all your money in [Money going down the toilet]
these things all the time and it happens and Joe Q public needs to be protected
from that and there's good and bad because in these funds also you can make [The government saves the public from a fire breathing dragon]
like a hundred times your money if you happen to win the one lottery ticket [Guy next to pile of money from Amazon stock]
that goes up a whole lot and that's what people focus on when they sell them so
Joe Q public at least according to government is to be protected from such
a volatility and there's other investment vehicles beyond these three
that get private attention away from the public but they have vehicles we can't [Elmer Fudd whispering]
tell you about