The importance of size in private equity: Evidence from a survey of limited partners

Marco Da Rin, L. Phalippou

Research output: Contribution to journalArticleScientificpeer-review


Using a comprehensive survey, we show that investors with a larger capital allocation to private equity are more specialized − measured by the degree to which the investor focuses on private equity rather than other classes of investments − and have a wider scope of due diligence and investment activities. Other investor characteristics (experience, type, location, compensation structure, number of funds under management) play no role. In particular, endowments are not special according to the survey measures. These results are consistent with the changing LP–GP relationship in private equity as capital is increasingly concentrated in the hands of large investors.
Original languageEnglish
Pages (from-to)64-76
JournalJournal of Financial Intermediation
Early online date11 Jul 2016
Publication statusPublished - Jul 2017



  • institutional investors
  • limited partners
  • investor heterogeneity
  • due dilligence
  • private equity

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