Buyouts
Which buyout strategy uses the least amount of leverage?
Growth buyout
Round of funding at the pre-revenue stage.
Seed Stage
What GP Led transaction does a GP use to hold a trophy asset for longer?
A single asset continuation vehicle
This is a notice or letter sent to investors in a private equity fund which may indicate that capital is being called and/or a management fee is being charged. This type of letter may include wire instructions and the date the cash is due.
Capital Call
Compared to that of Wall Street and the stock market, K Street and political lobbying, Madison Avenue for the advertising industry is for venture capitalism which road running through Palo Alto, Menlo Park, and Woodside?
Sand Hill Road
What the name of the transaction where a PE firm buys an orphaned division of a public company?
Carve-out
List the 3 sub-strategies of Growth Equity.
Venture Growth
Growth Equity
Growth Buyout
Acquiring a fund at a discount that is substantially funded and generating liquidity mitigates what risk?
J Curve risk
This is a common term of the private equity agreement. To the extent that the general partner receives more than its fair share of profits, as determined by the carried interest, this term holds the individual partners responsible for paying back the limited partners what they are owed.
Clawback
Coined in the 1992 novel, Snow Crash (by Neal Stephenson), this resurgent word describes a Network of 3D virtual words
Meta Verse
What value creation strategy utilizes high velocity M&A?
Buy-and-build
What mythical term was first popularized in 2013 by venture capitalist Aileen Lee to describe a startup with a market valuation of more than $1 billion?
Unicorn
What are three possible reasons an LPs would sell fund interests?
The length of time a business can sustain itself or a landing strip for aircraft.
Runway
What disgraced startup was formerly valued at $9 billion dollars before a controversy regarding its technology began brewing in 2015, ultimately culminating in 2018 charges of "massive fraud" by the CEO?
Theranos
Who were the names of the three founders of KKR (note the name of the firm is their initials)?
Jerome Kohlberg, Henry Kravis and George Roberts (last names suffice)
Which directional term applies to a funding round where a startup’s value per share is lower than it used to be?
Down Round
Approximately how big is the secondary market?
$100 billion
Which term is used to describe how fast your company is spending money to cover expenses and makes it sounds like you’re setting the cash on fire?
Burn rate
This leading PE Firm focusing on software investment firm has over $114 billion in AUM and a 40-year history. The firm has made more than 380 investments in leading software and technology companies and sets itself apart from its peers through its pioneering buy-and-build strategy and partnership-driven investment approach centered on close collaboration with portfolio companies’ management teams in order to spur innovation, drive operating results and accelerate growth.
Thoma Bravo
What firm did Thoma Bravo and Cressey & Co both spin out from?
GTCR (formerly Golder Thoma Cressy Rauner)
What fictional character can be said to be a venture capitalist, since he invested in a shrimping boat to found a successful shrimp company named after himself and his late comrade Benjamin "Bubba" Blue?
Forrest Gump
In 2023, Blackstone raised the largest secondary fund, how much was raised?
$25 billion
In the world of venture capital, a company that is funded by an entrepreneur's personal resources or revenue from the company is said to be what?
Bootstrapped
While private equity ($126 billion) is its largest category of investments, this firm has hundreds of billions of dollars in holdings in real estate, credit, and hedge fund solutions. Among its 107 portfolio companies are financial markets data and infrastructure provider Refinitiv, digital family history services provider Ancestry, and dating and social networking apps owner and operator Bumble.
Blackstone