Bank Gutmann has been investing in this asset class since 1999. The entrepreneurial approach typical of private equity investments and the search for attractive, risk-adjusted returns reflect the Bank's investment philosophy. Through the Gutmann network, high-quality long-term partnerships have been established with private equity investors, managers and advisors. Due to its attractiveness as an asset class, private equity has meanwhile become an important component in asset allocation for our clients. By providing customised solutions that meet the needs of private as well as institutional investors, our portfolios offer perfect access to private equity investing. Our investment approach is characterised by broad diversification (by region, strategy, sector, and company size) and our choice of top-quartile managers in the buyout, growth, secondary, and special situations segments.
The development of a private equity portfolio is influenced critically by just a few performance drivers such as manager selection and access to top-tier private equity funds. Bank Gutmann therefore attaches great value to these key criteria. Only a limited number of private equity groups have been able to generate outstanding results on a sustainable basis in the past. It is important to note in this context that with private equity investments, historical performance is a good indicator of future performance. Gaining access to excellent manager is difficult, as very good funds tend to be oversubscribed and accept only a limited number of new investors. It is only through long-standing relations and a good network that the right managers can be approached. In addition, minimum subscription requirements are often very high (between EUR 5 million and EUR 20 million, as a rule, which is often an obstacle to one single investor. Diversification – which is also important with private equity exposures – can therefore be obtained only to a limited extent or by investing large amounts. Access is facilitated by investing through globally diversified portfolios that bundle such investments.
Bank Gutmann’s private equity team can rely on many years of experience, extensive know-how, and a global network. These success factors are an important component of the investment process and form the basis of sustainable positive portfolio performance.
We offer our investors:
- Manager selection - best-of-class managers
- Network – long-standing relationships provide access to successful funds
- Access – top funds are frequently over-subscribed
- Diversification – in terms of region, sector, company size, and strategy
Special focus – Eastern Europe
Eastern Europe is a region of strategic importance to Bank Gutmann, as it is an attractive growth market. The Bank has been offering private banking and investment services in the region since the early 1990s. As the Bank has moved into the East European region, it has invested capital of its own in private equity funds for several years. Meanwhile, Gutmann is respected as one of the most experienced investors in Eastern Europe. Bank Gutmann’s network extends from Russia to Central, Southern and Eastern Europe. This investment theme has also been offered to our investors through our most recent investment vehicle. Eastern Europe is becoming increasingly important and will remain a key high-growth region in the future. The prospects of attractive returns keep investors’ interest in this type of investment high.