1J·

Beware of private equity funds at Trade Republic 🔍

Underperformance 😑

- PE funds usually underperform the NASDAQ 100 over 5 and 10 years.

- The stated target return of 12% p.a. is wishful thinking for advertising purposes.

Extremely high costs 💰

- 2.35% p.a. EQT + 5.00% exit costs

- 4.51% p.a. Apollo

- Comparison: iShares NASDAQ 100 ETF only 0.32% p.a.

- PE fund is up to 23 times (!!!) as expensive and eats up returns like Jumbo Schreiner at the All You Can Eat buffet.

Low liquidity 🤏

- Monthly sale possible, but no buyers guaranteed

- Sale can be prohibited if too many want to sell. You then have to keep the dirt because it is not traded on the stock exchange.

Further risks 🫣

- Apollo is not transparent and does not tell you what is in the fund. You should blindly & naively buy a fortune cookie.

Conclusion 🥱

Hands off. There are many better investments.

#traderepublic
#scalable
#privateequity
#fonds
#etf
#etfs
#nasdaq
#nasdaq100
$UST (+0,11 %)
$CSNDX (+0,1 %)
$EQQQ (+0,11 %)
$QYLE (+0,06 %)
#fail

16 Commentaires

TomTurboInvest@TomTurboInvest

It looks like the cash cow "ETF savings plan" is reaching saturation point, and now something new is needed...

If the returns were as high as promised and the vola so much lower, then this should be reflected in the share prices of listed PE companies, among other things 🧐
Strangely enough, it doesn't 😅

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MarTheRadi@marda304

@TomTurboInvest My theory is that all the rotten PE companies are being packaged into a fancy product to sell to the "stupid" money private investors. Obviously you can't get rid of the institutional ones.

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TomTurboInvest@TomTurboInvest

@marda304 As the first PE platforms took off months ago, I thought the same thing. It will be a similar set-up to the crowdinvesting projects, where only the companies that were uninteresting to professional investors at all previous stages will make an impact 🤷🏽‍♂️

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All-in-or-nothing@All-in-or-nothing

@marda304 That is precisely the intention behind it. Once the cream pieces have been placed with institutional investors, the waste is simply sold to bona fide private investors at horrendous costs vertrieben🤷🏼‍♂️.

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Epi@Epi

To the point, thank you!

Maybe that will stop at least one interested party from buying? Then the post would have been worth it. 👍

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Mardo@Mardo8

Great contribution. I would have liked a little more transparency from TR. Because TR must have come to this conclusion. The remuneration was probably too attractive.

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All-in-or-nothing@All-in-or-nothing

Perfect contribution to the topic, thank you dafür🙏🏻. I find it absurd, bordering on criminal, that TR willingly offers such snot (well, presumably there's just a generous commission for it with THAT cost structure). Absolutely dubious in my view. And of course these are precisely the investments that institutional investors do not buy, otherwise they would never be offered to private investors.

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JoniBaboni ✅.@BisInDieLetzteFussnote

23H

Everyone is always whining that you can't invest in private markets and "those at the top" are raking in the fat profits, leaving us with just the crumbs. Now you can do it at normal market conditions from €1 and now it's not right again and people are looking for the fly in the ointment. EQT and Apollo are Champions League and have clearly outperformed in recent years. Of course, as always, no guarantee for the future, but "hands off" is really bullshit...

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TomTurboInvest@TomTurboInvest

19H

@BisInDieLetzteFussnote Do you think that the PE funds at TR will give you access to the same private equities as "those at the top"?

Or - although it's not quite the same - do you think that you can get access to interesting start-ups via crowd investing, for example? This is the "last option" if the companies have failed all the professional investors 🤷‍♂️

What other company would do this? You can get a few big investors, or you can deal with 1000s of unpredictable small investors. These are huge efforts and costs, why should you go down this route as a private company?

Or why shouldn't Apollo, for example, do the deal with its major customers if their investment is sufficient?

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All-in-or-nothing@All-in-or-nothing

18H

@TomTurboInvest absolutely to the point. I have already expressed my opinion on this several times here in this context. People simply don't understand what actually reaches private investors in PE-Fondsbreich🤷🏼‍♂️.

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TomTurboInvest@TomTurboInvest

18H

@All-in-or-nothing I don't want to save anyone from their happiness, but you should question everything critically.

The private equity market is completely different to the public equity market, for example, there are no numerous analysts who regularly evaluate the companies as is the case with public (listed) equities.

And what is the difference between private equity and public equity? They are just as "normal" companies, except that they are not listed on the stock exchange.
Is that the reason why these companies are supposed to perform better than listed companies? If you compare the SmallCap Index with the PE Index over 30 years, the PEs don't do exactly that 😉

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Robert@Iwant_money_423

You're absolutely right...only Jumbo is dead...it didn't really spark with me.

If you stick with a simple ETF, you would have performed better than the expected return minus all costs in the last few years in any case.

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Techaktien@Techaktien

@Iwant_money_423 But it doesn't look like that on his Instagram. Grok writes: "No, Jumbo Schreiner is not dead. The German actor and presenter, born in 1967, is still active - he last posted on Instagram in August 2025 and threads about a memorial post about an accident six years ago (which referred to friends of his, not himself). A rumor about his alleged death in October 2024 that circulated on social media was apparently a hoax and has not been confirmed by reputable sources. There is no date of death on his Wikipedia page, and his official presence remains alive."

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Robert@Iwant_money_423

@Techaktien Thanks for the info! 😁

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Jonas Hoffmann@JonathanFrank

10H

So when I saw these dubious explanatory videos from some German rapper, all my alarm bells went off 😀

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Janus55555@Janus55555

46Min

I still sell the best monkeys as stock pickers 🐵

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