Detail from Ancient Greek black-figured dinos (wine-bowl) with the first chariot in the procession

Detail from Ancient Greek black-figured dinos (wine-bowl) with the first chariot in the procession
“Sophilos Dinos” (wine-bowl) showing guests arriving at the wedding of Thetis and Peleus. In the first car -Zeus and Hera, 2nd-Poseidon and Amphitrite. Source: British Museum (Wikicommons)

Friday, January 18, 2013

2012 DowJones Private Equity Performance Ranking

Prof. Oliver Gottschalg of HEC Paris and Dow Jones released their latest edition of the PE Performance "Fitness" Rankings Report, which analyzes 112 firms. Prof. Gottschalg explained his rankings:
"The aggregate performance score is neither an IRR-type annual return measure nor a money multiple. It can only be interpreted relative to the average aggregate performance score of all firms we analyzed: An aggregate performance score of 1 means that a given PE Firm has an aggregate performance that is one "standard deviation" above the average performance, which would position it typically at the 85th percentile, i.e. 85% of all firms would have a lower aggregate performance. Also, an aggregate performance score of 2 means that performance is twice as high as for an aggregate performance score of 1. A PE Firm with the average performance has (by design) an aggregate performance score of 0."


1. TPG Capital Score: 1.54
Total funds raised over past 10 years: $56.2bn Texas-based TPG Capital has $51.5bn of capital under management in a wide range of industries, according to its website. The firm’s performance in this ranking was boosted by returns from its Asian investment arm, TPG Newbridge, which would have ranked highly if included as a separate entity.

2. Hellman & Friedman Score: 0.97
Total funds raised over past 10 years: $20.7bn Based in San Francisco, Hellman & Friedman’s current investments include insurance software firm SSP and Wood Mackenzie, a UK oil and gas researcher.

3. Oaktree Capital Score: 0.90
Total funds raised over past 10 years: $53.6bn Based in Los Angeles, Oaktree has been involved in some of 2012’s most high-profile debt-for-equity deals. The firm, which operates as a distressed debt and turnaround specialist, has seized control of some of Europe’s most debt-laden private equity assets, including Fitness First, which was owned by BC Partners.



4. Nordic Capital Score: 0.88
Total funds raised over past 10 years: €7.7 billion Stockholm-based Nordic Capital is the top-ranking large-cap European buyout firm. Nordic launched in 1989 and has since established itself as one of Scandinavia’s leading buyout firms. However, the firm has encountered trouble on the fundraising trail and recently slashed the size of its latest €4-4.5bn fund to €3bn.

5. PAI Partners Score: 0.80
Total funds raised over past 10 years: €7.2bn The firm is at pre-marketing stage with investors for its latest fund, which investors expect to target €3bn. The firm has returned €4.6bn to investors through its last six exits. [List courtesy of EfinancialNews]