Explain the concept of a J-curve in Private Equity Investments?

All the students who too our 8 weeks training program, 90% of them found internships and jobs. Please click here https://www.cityinvestmenttraining.com/ to learn more.


Check our popular ebook "Top 100 Investment Banking Questions with Answers".

Click here to get your copy: https://www.cityinvestmenttraining.com/blog

Explain the concept of a J-curve in Private Equity Investments?


The J curve is the return profile of a PE fund’s investments as they typically tend to be negative in the early period of the investment versus the back end (fourth and fifth year of the investment).


Earlier in the investment period of the company, the financial sponsor (PE fund) typically invests money into the business to restructure the operations and to execute the strategy outlined before the company is even purchased.


The J curve return profile is an underlying feature of most PE funds, given the time taken for companies to see the benefits of the strategy implemented in the earlier stages of the investment.



Despite the onset of Covid-19 and its accompanying challenges, our program registered a 90% placement rate for students on our 8 weeks training programs. Our students secure jobs at marquee investment banks such as Goldman Sachs, Credit Suisse, Morgan Stanley, Citi Bank and Deutsche Bank among others. Please send your CV to info@cityinvestmenttraining.com to check your eligibility for the course.