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Risk management in Indian venture capital and private equity firms: A comparative study
Author(s) -
Smolarski Jan,
Verick Hira,
Foxen Sarah,
Kut Can
Publication year - 2005
Publication title -
thunderbird international business review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.553
H-Index - 37
eISSN - 1520-6874
pISSN - 1096-4762
DOI - 10.1002/tie.20063
Subject(s) - private equity , venture capital , private equity firm , business , private equity fund , private equity secondary market , finance , equity capital markets , club deal , social venture capital , equity (law) , equity risk , political science , law
Venture capitalists and private equity funds are often considered experts at investing in high‐risk projects and firms. To be successful investors, venture capitalists and private equity funds must therefore manage the many aspects of risk associated with investing in unlisted small and medium‐sized enterprises. This study examines how Indian venture capital and private equity firms manage several dimensions of risk. We analyze risk management preferences in Indian venture capital and private equity firms. A comparison between Indian and U.K. funds is presented. The results are discussed in detail. © 2005 Wiley Periodicals, Inc.