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CFA Level 2
Alternative Investments

Common Exit Strategies in Private Equity

Very Easy Private Equity Valuation Exit Strategies

Private equity investments often rely on various exit strategies to realize returns on their investments. One common exit strategy involves seeking a public listing for the invested company. This method can significantly influence the investment's overall return and is usually pursued when the company has reached a certain size and stability.

Which of the following is the most common exit strategy employed by private equity firms?

Hint

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