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Local Overweighting and Underperformance: Evidence from Limited Partner Private Equity Investments

Abstract

Institutional investors of all types exhibit substantial home-state bias when investing in private equity (PE) funds. This effect is particularly pronounced for public pension funds, where the local overweighting amounts to 9.7% of the private equity portfolio on average, based on 5-year rolling average benchmarks. Public pension funds

Type

Article

Author(s)

Yael V. Hochberg, Joshua Rauh

Date Published

Citations

Hochberg, V. Yael, and Joshua Rauh. 0. Local Overweighting and Underperformance: Evidence from Limited Partner Private Equity Investments.

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