PowerShares Listed Price, Forecast, Insider, Ratings, Fundamentals & Signals

Investing in public stocks of private equity firms can generate significant returns and benefit from professional management and strategic insights. The Invesco Global Listed Private Equity ETF allows investors to access the private equity sector and holds a diverse range of private equity firms. PSP has a large allocation to the financial sector and carries risks inherent to private equity investments, but can provide diversification benefits and potential relative strength against the sector.

This thesis aims to address the needs of investors looking to diversify beyond equities and bonds. In this case private equity in the form of the PSP ETF represents a suitable alternative investment. For this matter, it is important to elaborate on the risks associated with PE especially given that both Warren Buffett and Charlie Munger are against investing in alternatives.

The industry closed out November maintaining its pace of growth, rolling out another dozen new ETFs during the week. The launches included products from Goldman Sachs, Innovator, SP Funds, Counterpoint, YieldMax, Aztlan, and ETF newcomer Macquarie.

PSP is not particularly discounted despite dangers to PE balance sheets. Higher for longer could mean impairments coming in, especially for those massive 2021 outlays that are going to be benefiting from no multiple effects and may have exposure to rates. While debt arrangements may make a somewhat safe deleveraging possible, it's unclear given NAV-related loans and reports of some financial concerns.

The "Halftime Report" traders give their top picks to watch for the second half.

Private equity firms may benefit from market downturns by acquiring quality assets at lower prices and restructuring struggling companies. Private equity may be less volatile and more "recession-proof" compared to other financial subsectors like banking and insurance. The growing demand for private funding within innovative spaces like artificial intelligence presents opportunities for private equity businesses to capitalize on market trends.

We see valuation data from more than 400 funds each quarter, and it suggests the recovery from a relatively shallow downturn may be underway for buyout funds. How did private equity funds, and especially buyout funds, hold up so well during the recent turmoil and volatility in the public markets?

PSP invests in publicly listed private equity firms and related finance companies. Following a historically challenging 2022 PE deal activity and portfolio company returns, the segment is well-positioned to rebound.

As banks have fled the syndicated-loan market, private lenders potentially stand to gain by picking up the slack. Issuance of both broadly syndicated loans and high-yield bonds have fallen off a cliff in 2022.

The 60/40 portfolio fails to impress investors this year. Hence, investors might like these high-yielding options.