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Industry note
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Reference no. IMD-3-1369
Published by: International Institute for Management Development (IMD)
Originally published in: 2003
Version: 12.01.2004
Length: 26 pages
Data source: Published sources

Abstract

This industry note covers the secondary market, which refers to the exchange among investors of private interests prior to their natural maturity. First, the paper focuses on the rationale for secondary transactions vis-a-vis the primary private equity market. Then, it analyses the secondary market''s dynamics and the role of its three main groups of actors: buyers, sellers and intermediaries. Finally, it presents evidence for further market growth as well as an evolution towards more complex and diversified transactions.

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Abstract

This industry note covers the secondary market, which refers to the exchange among investors of private interests prior to their natural maturity. First, the paper focuses on the rationale for secondary transactions vis-a-vis the primary private equity market. Then, it analyses the secondary market''s dynamics and the role of its three main groups of actors: buyers, sellers and intermediaries. Finally, it presents evidence for further market growth as well as an evolution towards more complex and diversified transactions.

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