%0 Journal Article %A Can Kut %A Bengt Pramborg %A Jan Smolarski %T Risk Management in European Private Equity Funds %B Survey Evidence %D 2006 %R 10.3905/jpe.2006.635428 %J The Journal of Private Equity %P 42-54 %V 9 %N 3 %X To be successful in the private equity industry, venture capitalists and buy-out funds must manage the many aspects of risk that are associated with investing in nonlisted, small- and medium-sized enterprises. This study provides survey evidence of a wide range of risk management practices among 142 European funds in the private equity industry. The authors provide evidence of risk management preferences among funds in Denmark, Holland, Luxembourg, Ireland, U.K., Germany, Austria, Switzerland, Poland, France, Greece, Italy, Spain and Portugal. The article classifies funds based on whether they are primarily involved in venture capital or in buy-out investments, then analyzes the effects of fund type along several dimensions of risk. The results indicate that issues related to asymmetric information drive risk management practices.TOPICS: Private equity, developed, risk management, quantitative methods %U https://jpe.pm-research.com/content/iijpriveq/9/3/42.full.pdf