private equity

noun

plural private equities
1
: investment in a company that does not trade on a public stock exchange : interest in a private company
… the proportion of the pension fund parked in private equity grew from nearly 21% of the portfolio in 2014 to about 28% earlier this year.Alex Baumhardt
often used before a noun
private equity investments
2
: investment groups that pool the money of investors in order to acquire ownership shares in private companies
Private equity likes to acquire firms with debt, merge some of them together, find efficiencies, expand and then sell the company or go public on the stock market—in hopes of making a profit for investors.Kelly Yamanouchi

Examples of private equity in a Sentence

Recent Examples on the Web
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But with high tuition and the need to demonstrate strong returns, these private equity projects could price out many families. Sasha Rogelberg, Fortune, 18 July 2026 Bronin’s campaign argued that Larson calling out tech and private equity donations to the former mayor is hypocritical when the congressman has received his own. Lisa Hagen, Hartford Courant, 17 July 2026 Conway has been a vocal critic of Stonepeak Partners, the private equity firm attempting to purchase Chicago’s parking meter system, citing its own ties to Trump’s deportation efforts. Jake Sheridan, Chicago Tribune, 17 July 2026 Investment options Stocks, equities, ETFs, mutual funds, fixed income, alternative investments like private equity and hedge funds. Dan Avery, CNBC, 17 July 2026 See All Example Sentences for private equity

Word History

First Known Use

1959, in the meaning defined at sense 1

Time Traveler
The first known use of private equity was in 1959

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Cite this Entry

“Private equity.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/private%20equity. Accessed 21 Jul. 2026.

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