Ever wonder how you can get your foot in the private equity door? Ever ask yourself how you can fight against the brightest and most competitive people out there? For most of us, the world sharp-suited deal-makers and financiers has a reputation for keeping headcount low and hiring only from an exclusive set of business schools and strategy consultancies.

This is my second post about information that you should be familiar with if interviewing for a role in Private Equity (the first was on valuation). The objective is to arm the uninitiated with information that will make you able to talk, if not like an expert, then at least like someone who is not a complete newcomer to the subject.

Many people like the idea of a career in Private Equity, not least because it tends to be associated with high financial reward, but what exactly does Private Equity (PE) involve?

One of the issues I am often asked about in relation to Private Equity is valuation. This is a big subject, but I will try and cover the basic principles – these are all things you should be aware of – and able to discuss knowledgeably – if interviewing for a PE role.

Continuing my series of posts on the basic information you need to stand out at interview for a PE role (previous ones have covered valuations and GP/LPs), this is an overview on the role of the Investment Committee (AKA: the IC).

Artificial Intelligence – AI – is the hot topic of the moment and understandably so, with the widespread availability of services such as Chat GPT bringing the subject firmly into the mainstream and making it widely apparent that we are on the cusp of a major technological step forward.

The following is a post sponsored by BreakInToPE.com, the premier coaching service in the UK and EU for aspiring PE professionals.

In this episode Alex sits down with Joanthan, a senior PE professional who runs his emerging markets fund.

Private equity (PE) refers to investments made directly into private companies or buying out public companies to make them private, rather than investing in publicly traded stocks. These investments are typically made by private equity firms, which pool capital from institutional investors (like pension funds, insurance companies, endowments) and high-net-worth individuals. The goal is usually to increase the value of the company over a few years and then sell it for a profit.