A recent report by investment research firm Cambridge Associates shows private equity and venture capital outperformed the S&P 500, the Russell 2000® small cap, and the Nasdaq Composite indexes for the first half of 2015. Key excerpts are below.
U.S. Private Equity And Venture Capital Indexes Outperformed Public Equity Indexes In The First Half Of 2015. “US private equity and venture capital funds produced healthy results during second quarter 2015, outpacing the S&P 500, the Russell 2000® small-cap, and the Nasdaq Composite indexes, as indicated by the Cambridge Associates LLC benchmark indexes of the two alternative asset classes. Over the first six months of the year, venture capital outperformed private equity, and in the public markets the small-cap and technology-heavy indexes bested large cap. Over the past 15 years, private equity and venture capital indexes have had mixed results against the public markets, but over longer time periods have handily beaten the public markets.” (Cambridge Associates, “US PE/VC Benchmark Commentary Quarter Ending June 30. 2015,” Report)
Ending Q2 2015, The US Private Equity Index® Had 12 Consecutive Quarters Of Positive Returns; The US Venture Capital Index® Had 15. “Second quarter’s 3.8% return for the Cambridge Associates LLC US Private Equity Index® marked the benchmark’s 12th straight positive quarter, while the 6.7% return for the Cambridge Associates LLC US Venture Capital Index® represented that benchmark’s 15th consecutive positive quarter. Though enjoying similar runs of positive performance, public market returns have been more anemic in 2015.” (Cambridge Associates, “US PE/VC Benchmark Commentary Quarter Ending June 30. 2015,” Report)