Why Permanent Capital is ideal for value creation in the Mittelstand
ARQET Permanent Capital Private Equity
The Permanent Capital model has many advantages
- Permanent Capital works as the total* capital is invested rather than investing and devesting in preset periods of time
- Permanent Capital allows for sustainable product and technology innovation that leads to sustainable growth rather than limiting the holding period to 4-5 years
- Permanent Capital takes advantage of the German business location through continuity
- Investments in Permanent Capital vehicles have been rising strongly since 2018, as an al-ternative or complement to closed-end models, especially among family offices
- Focus on Green Tech, Smart Technology and Health Care sectors that show growth for the next years and decades
- Focus on hidden champions with technology and product innovations in strong niches, preferably family businesses
- Geographic focus Germany with headquarters in Munich
- ARQET’s investment model encourages and offers the founders the opportunity to remain connected with their own company
* The necessary liquidity reserve of 5-10% is to be deducted
The information on the homepage is non-binding. It is not an offer of investment, nor is the information contained herein to be relied upon as it is incom-plete and subject to change. The opinions presented are solely our current views at the time of writing, may not be consistent with opinions expressed at a later date and are subject to change without notice.
This homepage does not constitute general investment guidance or a basis for specific investment decisions. Furthermore, there is no implicit or explicit information regarding the manner in which ARQET intends to or will pursue its corporate strategy. The research data contained in this publication is based on information from public sources that ARQET believes to be reliable, but ARQET does not guarantee its accuracy or completeness.
In general, alternative investments such as private equity (direct investments in unlisted companies) involve a high degree of risk, including the possible total loss of the capital invested. These investments can be highly illiquid , generally do not generate a consistent return, can lose value and do not carry any promise that an investor will sooner or later receive a sum of money from his investment depending on the performance of an asset invested for an investor collective. Such investments are not subject to the regulatory requirements as investment products requiring a licence.
Historical performance is not a guide to future performance. Future performance cannot be guaranteed and capital loss may occur. The general opinions and information contained in this document are not a substitute for personal examination or specific and relevant legal, tax, securities or investment advice. It is the responsibility of each potential investor to inform themselves and to observe all relevant laws and regulations. ARQET expressly disclaims, to the fullest extent permitted by applicable law, any liability for errors, inaccuracies or omissions in this homepage and for any loss or damage arising from its use.