Private equity investments refer to the process of investing in privately held companies or acquiring a significant stake in such companies. This form of investment involves pooling funds from various investors, such as institutional investors, high-net-worth individuals, and private equity firms, to provide capital to these companies. Private equity investors typically aim to generate substantial returns by actively managing and growing the invested companies over a certain period. They may employ various strategies, such as restructuring, operational improvements, and expansion, to enhance the value of their investments. Private equity investments often involve a longer-term commitment compared to other forms of investments, and they can be a crucial source of funding for companies seeking growth opportunities or undergoing significant changes.