Risk measurement

Investors in private equity and venture capital limited partnership investment vehicles have developed a variety of approaches for measuring risk in their investments. In response to the wide range of techniques in use, Invest Europe has developed guidance based on best practice among investors for measuring the value at risk from investing in private equity and venture capital funds.

Invest Europe's Risk Measurement Guidelines aim to help investors increase their exposure to the asset class by developing sound risk measurement practices. They also inform discussions on risk measurement with regulators, boards of trustees and other stakeholders.

Our principle-based Guidelines avoid a one-size-fits-all approach. Instead they enable investors to identify their own exposure to the different risks inherent in investing, and allow them to develop their own tools to measure those risks.