From Morningstar: 2024-09-04 05:09:00

Morningstar’s Senior Equity Analyst, Johann Scholtz, has given three major European private equity firms a narrow moat rating, emphasizing their track records of outperformance and strong proprietary deal flow.

Private equity is opening up to retail investors, potentially leading to regulatory scrutiny and impacting high fees historically charged by firms.

CVC received a poor stock capital allocation rating due to its weak balance sheet and unusual distribution of performance fees, contrasting with EQT and Partners Group.

Investors interested in private equity should focus on management fees, recurring revenue, and each firm’s unique investment focus, such as EQT’s specialization in technology and healthcare, CVC’s traditional approach, and Partners Group’s tailored investment solutions.



Read more at Morningstar: Why Private Equity Firms Are Opening the Door to…