Private markets and crowdfunding
Private equity
Investment in unlisted companies, through professional or retail funds, over seven to twelve years.
Overview
Private equity allows investment in unlisted companies, using a share of one's wealth that can remain locked in for seven to twelve years.
Private equity takes stakes in unlisted companies at their various stages of development. It works through professional funds (FPCI, FCPR) reserved for well-informed investors, with high minimum investments. Retail funds and unit-linked life insurance investments have lowered the entry threshold. Commitments are called progressively, value is built over seven to ten years, and liquidity exists only when holdings are sold. Costs include a management fee and a performance share. Certain tax regimes may apply, such as IR-PME or the deferral of taxation under Article 150-0 B ter.
How it works
Commitment
Capital called progressively
Value creation
Seven to ten years
Winding-up
Sale of holdings and distribution
Key points
Strengths
- Expected reward for illiquidity, with no guarantee
- Partial decorrelation from financial markets
- Possible favourable tax framework: IR-PME, Article 150-0 B ter, tax deferral
- Wider access through ELTIFs and unit-linked policies
Points to watch
- Very limited liquidity, with a lock-in of seven to twelve years
- Historically high minimum investment, €100,000 or more for FPCIs
- Management fee and carried interest, set out in the fund rules
- Risk of capital loss
Who it is for
Private equity is for estates that can lock up a fraction of their financial assets for ten years and bear a loss, alongside a listed portfolio. It also concerns business owners reinvesting the proceeds of a sale.
Worked illustration
Example based on assumptions
Assumptions: a €1 million financial estate allocates 10% to private markets. The €100,000 committed to a fund is called over four years and locked in for ten years. Assuming a multiple of 1.8, the fund returns €180,000 as holdings are sold, before tax. The multiple is not guaranteed and may be below 1.
Regulatory information
This sheet is a general information document of a commercial nature. It constitutes neither personalised investment advice, nor a recommendation, nor a solicitation, and it is not a key information document. Any decision requires a prior analysis of your situation by a duly authorised professional. Investments carry a risk of capital loss. Past performance is no guide to future performance. Taxation depends on each person's situation and may change.
Risk of partial or total loss of capital: unlisted companies and SMEs carry a high risk of failure. Liquidity is almost nil for five to ten years, with exit depending on the fund's timetable or on a sale. High costs. Tax advantages are conditional on the holding period. Forestry and wine-estate groups are also exposed to climate, health and market hazards.
Complaints and mediation
Any complaint may be sent to ASTERALE, 4 allée Django Reinhardt, 94110 Arcueil, France, or to sebastien.bailly@asterale.fr. Failing a satisfactory reply within two months, you may refer the matter to the competent mediator. For financial investment advice: the AMF Ombudsman (Médiateur de l'AMF), 17 place de la Bourse, 75082 Paris Cedex 02 (www.amf-france.org/fr/le-mediateur). For insurance broking and intermediation, banking and payment services intermediation and property transactions: ANM Conso, 2 rue de Colmar, 94300 Vincennes (www.anm-conso.com, contact@anmconso.com).
Information sheet updated on 6 October 2026. Download the sheet (PDF)
Book a meeting
The first meeting, of about an hour, is used to check whether this scheme has a place in your wealth.