Partners Group: Ain't No Mountain High Enough Case Solution
This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP
PUBLICATION DATE: September 30, 2016
Partners Group ("PG"), a Swiss based PE supervisor, started a series of tactical shifts and developed from a predominately fund-of-funds supervisor into a big, multi-asset class PE company concentrated on direct financial investments. PG's outcomes were superlative (565% considering that beginning overall return and 22% yearly compounded development) versus the United States based PPEs efficiency over the exact same time of (76%) to 18%. PG had varying management practices: (i) payment practices; (ii) business governance structure; (iii) accounting policies; and (iv) source of profits. PG traditionally had a low portion of its profits obtained from brought interest payments (under 10%) while the United States PPEs had a substantially greater portion (on typical 50%). Should PG do more direct financial investments and have more of its incomes come from brought interests?