Private Equity has become a popular asset class amongst the world’s largest institutional investors because it has delivered superior returns to public equity.
However, investing in private equity is challenging. Funds typically have high minimum investment amounts and building a diversified portfolio of funds is essential as individual fund returns vary significantly. Further, private equity funds take years to invest and require investors to lock up capital for 10-15 years.
Many investors have not participated in private equity because it requires significant scale and a long time horizon.
Overbay takes a different approach to investing in private equity.
Overbay buys existing private equity portfolios from institutional investors that are seeking liquidity. Overbay targets mature portfolios that are fully invested and highly diversified, typically with hundreds of underlying companies. By purchasing mature portfolios, Overbay’s investors have a shorter time horizon and receive distributions much sooner than other private equity investors. By purchasing diversified portfolios, Overbay’s investors get the benefits of scale and reduce many of the risks of private equity.
Overbay overcomes the structural barriers of the asset class and provides investors with accelerated exposure to high quality private equity.