The Private Equity sector is the second largest investment company sector, with total assets of £14.5 billion (to 31 January 2018) and has strong long-term performance compared with the stock market. Over 25 years to 31 January 2018, a £100 lump sum investment in the Private Equity investment company sector is now worth an impressive £2,824. Nevertheless, the Private Equity sector remains one of the least understood investment company sectors.

To help investors understand private equity better, the Association of Investment Companies (AIC) has teamed up with investment company managers to produce a series of videos. The videos describe “What is private equity?” and explain the types of businesses private equity investment companies invest in, as well as what key private equity terms such as commitments and carried interest mean.

The full range of videos can be viewed on the AIC’s YouTube channel and via the online publication, Exploring Private Equity, which can be accessed by clicking on the image below.