Governance

FT.com On a report that suggests that private companies perform much better than public ones. However, there is little space for governance here. It all seems to be about picking winners and selling at the top. "Management" may hint at governance issues.

"“This [the doubling in enterprise value] is a substantially faster rate of growth in value than achieved by public companies in the same countries, sectors and timeframe: 26 per cent per annum versus 12 per cent per annum,” E&Y said. It attributes private equity’s performance to four factors: selective buying, delivery of the portfolio company’s business plan, strong management, and selling well."