The Private Equity Black Box | Unknown Knowns

In an environment of low interest rates and low returns, private equity was advertised as a clever means to increase returns in a difficulty investment environment. Private equity allows investors to get access to assets that are not traded on the public markets and so, in theory, can offer them exclusive, higher returns. But the private equity structure also risks that a lack of transparency can be used to cover up bad investments and this could even create financial and economic instability. Is private equity driving property bubbles in multiple countries by allowing for a loophole to get around post-2008 bank regulations? Is private equity a blessing or a curse? Analyst David P. Goldman talks to Danube Institute Visting Fellow Philip Pilkington.