Skip to main content

Main menu

  • Home
  • Current Issue
  • Past Issues
  • Videos
  • Submit an article
  • More
    • About JPE
    • Editorial Board
    • Published Ahead of Print (PAP)
  • IPR Logo
  • About Us
  • Journals
  • Publish
  • Advertise
  • Videos
  • Webinars
  • More
    • Awards
    • Article Licensing
    • Academic Use

User menu

  • Sample our Content
  • Request a Demo
  • Log in

Search

  • Advanced search
The Journal of Private Equity
  • IPR Logo
  • About Us
  • Journals
  • Publish
  • Advertise
  • Videos
  • Webinars
  • More
    • Awards
    • Article Licensing
    • Academic Use
  • Sample our Content
  • Request a Demo
  • Log in
The Journal of Private Equity

The Journal of Private Equity

ADVANCED SEARCH: Discover more content by journal, author or time frame

  • Home
  • Current Issue
  • Past Issues
  • Videos
  • Submit an article
  • More
    • About JPE
    • Editorial Board
    • Published Ahead of Print (PAP)
  • Follow IIJ on LinkedIn
  • Follow IIJ on Twitter
Article

Currency Impact in Brazilian PE/VC Deals’ Performance

Andrea Maria Accioly Fonseca Minardi, Ricardo Vinicius Kanitz, Rafael Honorio Bassani and Pedro Robelo Schittkowski
The Journal of Private Equity Summer 2017, 20 (3) 45-51; DOI: https://doi.org/10.3905/jpe.2017.20.3.045
Andrea Maria Accioly Fonseca Minardi
is a professor at Insper Institute of Education and Research in Sao Paulo, Brazil
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
Ricardo Vinicius Kanitz
is a founding partner of Spectra Investments in Sao Paulo, Brazil
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
Rafael Honorio Bassani
is a partner at Spectra Investments in Sao Paulo, Brazil
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
Pedro Robelo Schittkowski
is an undergraduate student at Insper Institute of Education and Research in Sao Paulo, Brazil
  • Find this author on Google Scholar
  • Find this author on PubMed
  • Search for this author on this site
  • Article
  • Info & Metrics
  • PDF (Subscribers Only)
Loading

Click to login and read the full article.

Don’t have access? Click here to request a demo 
Alternatively, Call a member of the team to discuss membership options
US and Overseas: +1 646-931-9045
UK: 0207 139 1600

Abstract

Brazil is an emerging market that has attracted a lot of private equity (PE) and venture capital (VC) investment in the last 20 years. Foreign exchange rates fluctuated significantly during this period, as in many emerging markets. This article investigates the currency impact on Brazilian PE/VC deal performance during this period. Our main findings are that in the long run, currency risk is irrelevant, but it is substantial at the deal level and, depending on the vintage, also at the fund level. Funds raised in the beginning of a devaluation cycle have their performances significantly deteriorated by currency movements, and the opposite is true for funds raised in the beginning of a currency appreciation cycle. Although there is diversification across deals, depending on the vintage, some funds may not be able to diversify across cycles, and foreign exchange risk may affect funds’ performance and fees and may distort general partners’ track records.

  • © 2017 Institutional Investor, LLC
View Full Text

Don’t have access? Click here to request a demo

Alternatively, Call a member of the team to discuss membership options

US and Overseas: +1 646-931-9045

UK: 0207 139 1600

Log in using your username and password

Forgot your user name or password?
PreviousNext
Back to top

Explore our content to discover more relevant research

  • By topic
  • Across journals
  • From the experts
  • Monthly highlights
  • Special collections

In this issue

The Journal of Private Equity: 20 (3)
The Journal of Private Equity
Vol. 20, Issue 3
Summer 2017
  • Table of Contents
  • Index by author
Print
Download PDF
Article Alerts
Sign In to Email Alerts with your Email Address
Email Article

Thank you for your interest in spreading the word on The Journal of Private Equity.

NOTE: We only request your email address so that the person you are recommending the page to knows that you wanted them to see it, and that it is not junk mail. We do not capture any email address.

Enter multiple addresses on separate lines or separate them with commas.
Currency Impact in Brazilian PE/VC Deals’ Performance
(Your Name) has sent you a message from The Journal of Private Equity
(Your Name) thought you would like to see the The Journal of Private Equity web site.
CAPTCHA
This question is for testing whether or not you are a human visitor and to prevent automated spam submissions.
Citation Tools
Currency Impact in Brazilian PE/VC Deals’ Performance
Andrea Maria Accioly Fonseca Minardi, Ricardo Vinicius Kanitz, Rafael Honorio Bassani, Pedro Robelo Schittkowski
The Journal of Private Equity May 2017, 20 (3) 45-51; DOI: 10.3905/jpe.2017.20.3.045

Citation Manager Formats

  • BibTeX
  • Bookends
  • EasyBib
  • EndNote (tagged)
  • EndNote 8 (xml)
  • Medlars
  • Mendeley
  • Papers
  • RefWorks Tagged
  • Ref Manager
  • RIS
  • Zotero
Save To My Folders
Share
Currency Impact in Brazilian PE/VC Deals’ Performance
Andrea Maria Accioly Fonseca Minardi, Ricardo Vinicius Kanitz, Rafael Honorio Bassani, Pedro Robelo Schittkowski
The Journal of Private Equity May 2017, 20 (3) 45-51; DOI: 10.3905/jpe.2017.20.3.045
del.icio.us logo Digg logo Reddit logo Twitter logo CiteULike logo Facebook logo Google logo LinkedIn logo Mendeley logo
Tweet Widget Facebook Like LinkedIn logo

Jump to section

  • Article
    • Abstract
    • SAMPLE INFORMATION
    • CURRENCY RISK
    • SENSITIVITY ANALYSIS OF BRL APPRECIATION IN THE PERFORMANCE FEE
    • CURRENCY IMPACT
    • LOCAL CURRENCY APPRECIATION MAY MISREPRESENT USD PERFORMANCE
    • CONCLUDING REMARKS
    • ENDNOTES
  • Info & Metrics
  • PDF (Subscribers Only)
  • PDF (Subscribers Only)

Similar Articles

Cited By...

  • No citing articles found.
  • Google Scholar

More in this TOC Section

  • Editor’s Letter
  • Editor’s Letter
  • Editor’s Letter
Show more Article
LONDON
One London Wall, London, EC2Y 5EA
United Kingdom
+44 207 139 1600
 
NEW YORK
41 Madison Avenue, New York, NY 10010
USA
+1 646 931 9045
pm-research@pageantmedia.com
 

Stay Connected

  • Follow IIJ on LinkedIn
  • Follow IIJ on Twitter

MORE FROM PMR

  • Home
  • Awards
  • Investment Guides
  • Videos
  • About PMR

INFORMATION FOR

  • Academics
  • Agents
  • Authors
  • Content Usage Terms

GET INVOLVED

  • Advertise
  • Publish
  • Article Licensing
  • Contact Us
  • Subscribe Now
  • Log In
  • Update your profile
  • Give us your feedback

© 2021 Pageant Media Ltd | All Rights Reserved | ISSN: 1096-5572 | E-ISSN: 2168-8508

  • Site Map
  • Terms & Conditions
  • Privacy Policy
  • Cookies