Why now is the time to look again at private equity

Listed Private equity in the UK has been facing an image challenge, but this presents a unique opportunity for investors. Despite the robust performance of many private equity strategies, concerns over higher interest rates and valuations have led to listed private equity investment trusts trading at significant discounts to their underlying value. With the macroeconomic outlook improving, these discounts offer investors a golden chance to tap into the long-term returns generated by fast-growing private businesses. This is potentially a good time to consider investing in private equity, as the potential for substantial gains is considerable.

At HVPE, we are aware that investors may need some encouragement to revisit the sector. In 2024, we bought back $90m shares, boosting our net asset value per share and enhancing returns for our shareholders. In 2025, we are extending this programme by allocating up to $235m through the year to further buybacks and dividends, doubling our potential allocation to share buybacks on the previous year, demonstrating confidence in our published valuations and the outlook for the performance of the underlying assets.