Co-investing in private equity is a global trend

Date: 30 Apr 2015


David Kilshaw, Partner at Ernst & Young LLP, comments on the rise of families co-investing in private equity.

What is your advice to families considering co-investing in a private equity deal?

The clients must make sure they undertake full and proper due diligence and full arms length enquiry.

What can go wrong?

A failure to look beneath the surface and failure to make full enquiry. It is important to ensure all parties have the same investment objectives and timelines.

Is this a trend that you have seen a rise in?

Yes, and I see more co-investment between families as well.

If so, what type of private equity investments are UHNW or families in business interested investing in?

Life sciences is a popular area but the main driver is the experience of the family.

Is it mainly Chinese and Russian family offices?

No, we have seen this being a global trend, e.g. Brazil.

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