Showing results 1 - 2 of 2
| Josh Lerner
September 16, 2021, Paper: "Black- and Hispanic-owned funds control a very modest share of assets in the private capital industry and encounter difficulties in raising first-time funds, despite the fact that their performance is indistinguishable from other funds’ returns. We explore this seeming paradox. We find that the size of the follow-on funds raised by minority managers is less sensitive to the performance of the previous fund than that…
| Josh Lerner
August 20, 2020, Paper: "Critics of private equity have warned that the high leverage often used in PE‐backed companies could contribute to the fragility of the financial system during economic crises. The proliferation of poorly structured transactions during booms could increase the vulnerability of the economy to downturns. The alternative hypothesis is that PE, with its operating capabilities, expertise in financial restructuring, and…