What is a Drawdown in Private Equity?
July 4, 2025
Private equity investments typically take place
over a longer period of time than other investment
methods. Rather than being invested immediately
into a company, private equity funds are used
selectively and are invested at intervals during which
they can have maximum impact for the portfolio
company. When investing in private equity, it is
worth noting that sufficient funds will need to be
kept available in liquid or semi-liquid form to meet
drawdown requests as they occur.