How to Include Private Equity in DC Plans

Jan 16, 2020 - Plan Sponsor

Results of a study by the Defined Contribution Alternatives Association (DCALTA), conducted in collaboration with the Institute for Private Capital (IPC), suggest that including private equity funds in defined contribution (DC) plan portfolios both improves performance and has diversification benefits that lower overall portfolio risk.

The researchers sought to understand the properties of a portfolio strategy that provides an investor exposure to more private funds early in the investment...