Gareth Henry made a name for himself in the alternative investment sector of the United States and London serving executive roles. He is an author and publishes articles on publishing site Medium sharing his knowledge of working with private equity (PE) and investing management firms. In a recent article, he draws attention to private equity investments performance compared to those of ETFs. It is one of many topics he elaborates on to teach investors and his devoted audience about various investment strategics.
According to Gareth Henry, US private equity firms provided investors with an annual return of 16 percent, from 2003 to 2013, a ten-year span. S&P 500 saw a return of 7.4 percent and small businesses had a higher return of 9.1 percent for investors. Based on the information above and despite the involvement of risks with PE investments, an investor received a much higher return compared to an ETF investor. Henry presented data that showed in 1998 until 2018, venture capital has a 30 percent return and private equity is at 13.5 percent.
To gain superior returns, an accredited investor must have much patience. Gareth Henry explained the requirements of investors who primarily invest in non-registered securities. They don’t have to register with the Securities and Exchange Commission (SEC), a federal governmental regulatory agency. An accredited investor must have a verifiable income of $200,000 or a minimum of $300,000 in joint income for at least two years. They must prove their income will remain the same or increase in the years to come.
Gareth Henry is a graduate from Edinburgh’s Heriot Watt University and holds an Actuarial Mathematics and Statistics degree. He worked for Schroders, an investment management firm before joining Fortress Investment Firm as its Global Head of International Investor Relations, in New York City. Henry gained employment with Angelo, Gordon, & Co. later, serving the same position as with Fortress. He is now an investment writer and expert on publishing sites, such as Medium and other online publishers. His management and investing experience extends over 12 years in the US, Europe, and other global countries.
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