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The Evolution of Private Equity's Secondary Market
This chapter examines the historical and contemporary dynamics of the secondary market in private equity, exploring how investors can exit funds before the typical 10-year lifecycle. It discusses the transition from a 'black market' to a more accepted 'gray market,' addressing liquidity needs and the evolving investor landscape. The chapter also highlights the complexities and legal requirements involved in secondary transactions, illustrating the practical implications through relatable anecdotes.