PitchBook Releases Suite of Indexes to Track Performance of Companies that have Recently Transitioned from Private to Public Markets

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Jun 07, 2022, 12:08 ET

SEATTLE, June 7, 2022 /PRNewswire/ -- PitchBook, the premier data provider for the private and public equity markets, today released a suite of indexes to help private market participants contextualize the performance of their newly public holdings. The indexes track formerly venture capital-backed IPOs, private equity-backed IPOs and private companies that have entered the public markets via a SPAC. They are updated daily with the prior day's market close and can be easily filtered by timeframe and asset class. The launch of these indexes comes at a time when significant volatility in global equity markets is forcing limited partners (LP) and general partners (GP) to reassess investment strategies and safeguard existing portfolio companies from market turmoil. PitchBook's Institutional Research Group continues to build on its growing suite of indexes and proprietary models and tools to inform investor strategies. To access PitchBook's Indexes, click here.

"Tracking performance and valuation shifts in the public markets are crucial for private market participants, especially in market conditions like we are currently experiencing," said Dan Cook, CFA and Head of Quantitative Research at PitchBook. "Leveraging our newly launched indexes, LPs and GPs can not only track performance of companies that have recently transitioned from the private to the public markets, but they can also gauge how public market fluctuations might be impacting their private holdings."

PitchBook's suite of indexes are built leveraging PitchBook and Morningstar's private and public equity data. Every IPO index included is listed on the NYSE and NASDAQ, regardless of company headquarter location and companies must have debuted with a post-money valuation of more than $50 million to be considered for inclusion. Both the VC-Backed IPO Index and PE-Backed IPO Index track the performance of VC- and PE-backed companies that have gone public for two years after their IPO date. PitchBook's DeSPAC Index tracks the performance of companies that have undergone a reverse merger.

According to the indexes, equity market valuations boomed globally in late 2020 and 2021 as companies and consumers adapted to the pandemic and loose monetary policies. Since the beginning of 2022, markets have experienced significant volatility in response to persistent inflation, a war in eastern Europe, hawkish Federal Reserve monetary policy, shutdowns in China, and high commodity prices have depressed valuations. Unsurprisingly, the impact of the current market conditions is most visible in PitchBook's VC-Backed IPO Index, which is heavily weighted toward the technology sector and tends to suffer during times of increased inflation as borrowing costs increase and future earnings are discounted at a high rate.

To access PitchBook's Indexes, click here.

About PitchBook
PitchBook is a financial data and software company that provides transparency into the capital markets to help professionals discover and execute opportunities with confidence and efficiency. PitchBook collects and analyzes detailed data on the entire venture capital, private equity and M&A landscape—including public and private companies, investors, funds, investments, exits and people. The company's data and analysis are available through the PitchBook Platform, industry news and in-depth reports. Founded in 2007, PitchBook has offices in Seattle, San Francisco, New York, London and Hong Kong and serves more than 70,000 professionals around the world. In 2016, Morningstar acquired PitchBook, which now operates as an independent subsidiary.

SOURCE PitchBook