What Does a Private Equity Placement Agent Do?
As a private equity placement agent, you work as an intermediary between investment funds and the agents providing capital. Many agents work for an agency or global investment bank, but you can also operate as a one-person organization once you have enough experience. Your duties include facilitating relationships between qualified investors and fund management teams to introduce capital seamlessly. You receive a fee in exchange for completing the transaction, which is often between 2 and 2.5 percent. Other responsibilities in today’s market include participating in marketing efforts for a company that lacks contacts and describing the fund as an asset.
How to Become a Private Equity Placement Agent
The minimum qualifications you need to become a private equity placement agency include an undergraduate degree in economics or a related discipline and some professional experience in finance. To be a private equity agent, you must register yourself with the U.S. Securities and Exchange Commission (SEC), and you must register as a dealer or broker in the United States. Some employers may take care of registration for you. You can find jobs with banks, private partnerships, or boutique firms of all sizes. Other skills needed include excellent communication skills, attention to detail, strong critical thinking skills, and creative thinking.
