Guidance’s parent, Capital Guidance, has been a direct investor in private equity funds globally for over 25 years and a direct investor in operating companies in developed and emerging markets for nearly 50 years. This extensive experience, learning and judgment are reflected in our approach to creating private equity investment solutions for our investors.
Private equity is an attractive asset class and can provide investors with high risk-adjusted returns. However, the leverage, investment structure or investee business activities of many funds and investments make them incompatible with Shariah principles. In addition, astute manager selection is essential to achieve good results. Guidance seeks out and works with the highest-quality, leading international fund sponsors to create and structure investment programs that are Shariah-compliant and suitable for our institutional investor clients.
Our Asian “Fund of Funds” is one example of an ideal mechanism for investors seeking a diversified portfolio of high-growth private company transactions in emerging Asian markets. It offers investors the opportunity to participate in leading, mid-market private equity funds in India, China and Southeast Asia. By working with mid-market sponsors through the Fund-of-Funds, we are creating a whole new category of investment opportunity that would otherwise be unavailable to institutional investors.
Previously, Guidance created two investment funds under the Guidance brand and six in collaboration with strategic partners. Guidance is also a Shariah advisor to a ninth investment fund.