Does the Princeton Everest Fund Deserve an Allocation in Your Portfolio?
We think investors should consider expanding beyond the traditional equity and fixed-income investment to meet long-term return goals.
Potential benefits of investing:
Adds return diversification of asset classes
Potential to lessen overall risk during market downturns
May exhibit lower volatility than public equities1
The universe of private companies versus public companies is vastly larger2
Investors should determine if the Princeton Everest Fund is right for their portfolio.
Potential drawbacks of investing:
Investor accreditation standard is required to invest
Limited liquidity compared to public traded equities
Higher fees and minimum investments versus traditional asset classes
An investment in the Fund is speculative, involves significant risk and is not suitable for all investors. It is possible that you may lose some or all of your investment.
- Standard deviation of Class I: 6.68%, S&P 500: 15.81%, MSCI ACWI: 14.98%. Data from 6/1/16 – 8/31/22 Standard deviation is a statistical measure of an asset as it falls and rises from its average price. A low standard deviation indicates a narrow trading range and historically less volatility.
- Sources: World Federation of Exchanges database as of September 2022 US Census Bureau. As of 2021, the most recently available data as of 9/22/2022
Universe of Private Companies are Vastly Larger
The number of U.S. public companies has been steadily declining from 8,090 in 1998 down to 6,203 in 20211
A large universe of private companies in the U.S. may represent significant opportunity for private equity managers
- World Federation of Exchanges database as of September 2022.
- Source: US Census Bureau. As of 2021, the most recently available data as of 9/22/2022.