A private equity fund is a type of private investment fund that’s managed by a private equity firm, which may need to register with the SEC as an investment adviser. Private equity funds use a variety of investment strategies, such as buyouts, growth equity, and even venture capital. A common approach is for the fund to acquire a controlling interest in a portfolio company and then actively help manage and grow the business to increase its value. Some private equity funds also focus on making minority investments in fast-growing startups or emerging businesses. If you’re researching what is a private equity fund or how private equity funds work, they’re a powerful way for investors to back promising companies and drive long-term value creation.

Building Blocks: Private Funds, Building Blocks: Starting a Private Fund, Private Equity Funds