ELI5: Explain Like I'm 5

Publicly traded private equity

Alright kiddo, let's talk about something called publicly traded private equity.

Do you know what private equity is? It's when a big group of people get together and pool their money to buy companies or businesses. These businesses can be big or small, and the goal is to make them better and more profitable.

Now, when these private equity companies first started, they were only available for rich people to invest in. But, over time, they started letting everyone invest in them. This meant that even regular people like you and me could put our money in and hope to make some money back.

But, how do you invest in private equity if it's private? That's where the "publicly traded" part comes in. Some private equity companies have decided to let people buy and sell shares of their company on a stock exchange, just like you would with a regular company like McDonald's or Target. This means that you can invest in private equity without actually being part of the group of people who own the company.

So, to sum it up, publicly traded private equity is when companies that buy and improve other businesses allow regular people to invest in them by buying and selling shares on a stock exchange. This lets more people access the benefits of private equity investing.