In an article published in Financial Investigator on 11 March, 2025, Abhishek Gupta¹ and Srinivasan Selvam², present the key insights from their recent report entitled “Are Private Equities Riskier Than Stocks?” which finds that private equities, as represented by the private2000® index, have a ten-year volatility of returns and an extreme risk profile that is commensurate with that of listed equities, but that the maximum drawdown of public equities is consistently higher than that of private equities. The authors commented:

“The privateMetrics indices that are produced by Scientific Infra & Private Assets (SIPA) have been designed to measure the risk-adjusted performance of the private equities market before fund managers bring their skills to bear and make specific investment choices, add fund-level risks, or mitigate idiosyncratic risk. These market indices represent private equities as an asset class and are therefore the most relevant and logical starting point to understand and undertake private asset investing.”

🔗 Read the full article.

🔗 Read the report.

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¹Associate Director at Scientific Infra & Private Assets.
²Senior Researcher in Finance – Solutions at Scientific Infra & Private Assets