Financial Guide: Buffett Actually Played A Long-Term Investment.

The longer term of investment means that the fluctuation of investment and return should be smaller than usual.

However, the rate of return may also be lower, and the new acquisition fund plans to charge lower fees to offset low returns.

According to Business Insider, the world's second largest private Carlyle Group, on Wednesday, said it had raised $3 billion 600 million for its long term fund Carlyle Global Partners (CGP).

Private giants finally came from "stock god".

I saw the way of investment.

They are raising new buyout funds, hoping to invest in a target company for up to 20 years.

This investment period is two times that of their traditional investment in the past.

Since 2014, CGP has invested $1 billion 100 million in four companies, including Global Jet Capital, a private aircraft finance company, and Schoen Klinik, a hospital operator.

Bloomberg reported in June that Blackstone Group, the world's largest private equity firm, is expected to raise about $5 billion in its core private equity fund with a longer investment period, two times the usual 3-5 years.

Compared to most other acquisitions, the fund will invest in companies that are bigger, more mature and less risky.

The acquisition fund is passed.

The ownership of the target enterprise will be controlled and restructured. It will be sold after a certain period of time.

Leveraged buyout is a common form of buyout funds.

In a 2015 Research Report, Bain said that the new acquisition fund allows private companies to seek investment deals that are not suitable for their main acquisition funds, and that they will be able to hold some success over the longer term.

Equity.

Only those M & a funds with a maturity of up to 10-15 years can outperform the US stock market.

How did PE's long-term investment come into being? They learned from the "stock god" Buffett.

As we all know, Buffett mainly invested for a long time. He once said that he liked "always holding".

Buffett's Boxill Hathaway company has a large amount of cash and shares of listed companies. The company does not need to raise funds to buy.

Public information shows that during the 48 years, Buffett received an average return on investment of 20.74%. Most of the years had a positive rate of return. Only two years were in a loss, which was 6.2% and 9.6% respectively in 2001 and 2008.

Boxill Hathaway company's two quarter financial report shows that in the two quarter, the company's net profit increased 25%, up to 5 billion US dollars.

The company's share price has risen nearly 10% this year.