The State Street Private Equity Index posted a 2.22 per cent return for the quarter ending 31 March 2010, 372 basis points lower than the fourth quarter of 2009 return and 868 basis points higher than the return recorded during the year ago period.
The first quarter of 2010 return for the European and rest of world regions were -1.9 per cent and 4.0 per cent, respectively, with both reflecting a slight decrease from the prior quarter.
For the second quarter 2009 to the first quarter of 2010, all private equity recorded a 22.7 per cent one-year end-to-end return.
Mezzanine and distressed debt funds combined recorded 38.2 per cent return for the same one-year investment time period and continue to perform better than other investment strategies.
The since inception internal rate of return as of 31 March 2010 was 11.5 per cent, a slight increase from the prior quarter. Buyout funds and venture capital recorded 11.9 per cent and 8.6 per cent, respectively. Distressed debt and mezzanine funds posted an 11.5 per cent return since inception.
The index is based on the latest quarterly statistics from State Street Investment Analytics’ private edge group and includes 1,779 private equity partnerships with a total fund size of USD1.6trn.
