Mid-market GP stakes hit a sweet spot at 20% to 25% gross IRR
Wylie Fernyhough · Wylie Fernyhough – Private Equity Stakes (Capital Allocators, EP.208) · Aug 13, 2021 · at 10:55
PitchBook analyst Wylie Fernyhough analyzes expected risk-adjusted returns across market tiers in GP stakes investing.
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“When you look more at the mid-market, you're looking at 20 to 25% gross IRRs, and again, I think that's kind of the sweet spot, because you're getting paid a decent amount more, especially on the cash flow yield side with the lower pricing, but there's also more growth potential.”
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