US PRIVATE EQUITY SHORT-TERM PERFORMANCE TURNS SHARPLY POSITIVE; 10-YEAR VENTURE CAPITAL RETURNS DIP NEGATIVE

Tuesday, 10. August 2010 15:00
Returns Continue to Exceed the Public Markets Across Long-term Time Horizons

New York, NY, August 10, 2010 - Overall US private equity performance showed
positive returns across all investment horizons and turned sharply positive in
the one-year time horizon for the period ending March 31, 2010 according to
Thomson Reuters.

With improving stability in the broader capital markets and a return for venture
capital and private equity IPO and M&A exits, near-term horizon returns saw
marked improvements over last quarter. The 10-year time horizon for venture
capital funds demonstrated weakening trends from last quarter and a year ago,
registering negative investment returns as the cash flows and corresponding
valuations seen in 1999 are no longer included in the sample.

One year returns, which are most affected by the current market environment,
moved in a strongly positive direction registering a seven percentage point
increase from last quarter for venture capital funds (11.5%) and a 9.1
percentage point increase for buyout funds (19.4%).  Longer-term time horizons
held strongly positive for venture capital funds with a slight increase from the
third quarter return in the 20-year time horizon to 17.8% compared to 17.1% a
year ago.  In the buyouts category, small and medium buyout funds in the
longer-term time horizons continued to drive performance, with double-digit
performance figures.

Overall, venture capital and buyout fund returns across most time horizons
continued to outperform US public market indices, NASDAQ and the S&P 500,
through March 31, 2010.


Thomson Reuters US Private Equity Performance Index (PEPI)

Investment Horizon Performance through 03/31/2010
+------------------------------+-----+-----+-----+------+----------------------+
| Fund Type | 1 Yr| 3 Yr| 5 Yr| 10 Yr|  20 Yr |
+------------------------------+-----+-----+-----+------+----------------------+
| Early/Seed VC | 4.0| -1.3| 1.1| -3.6| 23.2|
+------------------------------+-----+-----+-----+------+----------------------+
| Balanced VC | 16.9| 0.2| 7.0| -0.1| 14.8|
+------------------------------+-----+-----+-----+------+----------------------+
| Later Stage VC | 19.3| 5.7| 8.3| 0.3| 15.5|
+------------------------------+-----+-----+-----+------+----------------------+
| All Venture | 11.5| 0.5| 4.6| -1.5| 17.8
+------------------------------+-----+-----+-----+------+----------------------+
| All Venture (through | | | | | |
|12/31/2009) | 4.5| 0.8| 4.2| 1.1| 17.7|
+------------------------------+-----+-----+-----+------+----------------------+
| All Venture (through | | | | | |
|3/31/2009) |-17.4| 1.8| 5.2| 13.0| 17.1|
+------------------------------+-----+-----+-----+------+----------------------+
| Small Buyouts | 0.0| 0.5| 4.4| 3.3| 11.8|
+------------------------------+-----+-----+-----+------+----------------------+
| Medium Buyouts | 12.8| 3.7| 8.1| 2.7| 10.9|
+------------------------------+-----+-----+-----+------+----------------------+
| Large Buyouts | 16.0| 2.6| 6.9| 3.9| 10.5|
+------------------------------+-----+-----+-----+------+----------------------+
| Mega Buyouts | 20.0| -1.3| 4.9| 4.2| 7.8|
+------------------------------+-----+-----+-----+------+----------------------+
| All Buyouts | 19.4| -0.5| 5.4| 4.0| 9.0
+------------------------------+-----+-----+-----+------+----------------------+
| All Buyouts (through | | | | | |
|12/31/2009) | 10.3| -0.5| 5.1| 4.5| 8.9|
+------------------------------+-----+-----+-----+------+----------------------+
| All Buyouts (through | | | | | |
|3/31/2009) |-24.4| -0.9| 6.0| 4.9| 9.1|
+------------------------------+-----+-----+-----+------+----------------------+
| Mezzanine | 4.0| 0.8| 2.7| 2.3| 6.7|
+------------------------------+-----+-----+-----+------+----------------------+
| All Private Equity (excl. VC)| 24.0| 0.7| 6.2| 4.7| 8.9|
+------------------------------+-----+-----+-----+------+----------------------+
| All Private Equity | 21.9| 0.6| 5.8| 2.8| 11.3
+------------------------------+-----+-----+-----+------+----------------------+
| NASDAQ | 51.5| -0.3| 3.6| -6.2| 9.1|
+------------------------------+-----+-----+-----+------+----------------------+
| S&P 500 | 42.3| -6.1| -0.2| -2.4| 6.5|
+------------------------------+-----+-----+-----+------+----------------------+
Source: Thomson Reuters

*The Private Equity Performance Index is based on the latest quarterly
statistics from Thomson Reuters' private Equity Performance Database analyzing
the cash flows and returns for over 2,044 US venture capital and private
equity partnerships with a capitalization of $982.6 billion.  Sources are
financial documents and schedules from Limited Partners investors and General
Partners.  All returns are calculated by Thomson Reuters from the underlying
financial cash flows.  Returns are net to investors after management fees and
carried interest.  Buyout funds sizes are defined as following: Small:
0-250m, Medium: 250-500m, Large: 500-1000m, Mega: 1b+


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CONTACTS

Jeanette Volpi
PR Director, Investment & Advisory
+ 1 646 223 5517
jeanette.volpi@thomsonreuters.com



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