Private Equity
Manager
Sachin Khajuria is a former partner at Apollo and twenty-five-year veteran of private equity who recently authored “Two and Twenty,” a fantastic insider’s account of the private equity industry.
Our conversation covers Sachin’s rationale for writing Two and Twenty, the strengths of private equity, areas for improvement, and needs for change. We discuss the defining traits of the industry across the sourcing process, depth of research, use of operating executives, ability to pivot, and democratization of alternatives. We close by discussing opportunities and risks going forward, and Sachin’s application of his insights to investing at his family office.
Show Notes
3:24 Sachin’s background
5:56 Good parts of private equity
8:57 Alignment and economics
12:42 Deploying a firm’s resources
17:13 Investment possibilities in mid-market
20:12 Constructive critiques of private equity
26:33 Sourcing deals
31:07 Research process for deals
32:43 Relationships with operating executives
33:37 Private equity’s evolution and innovation
38:03 Reconciling disconnect between LPs and GPs
39:49 Democratization of private equity
44:28 Opportunity set in the market
47:17 Investment decisions
52:01 Closing questions
