BARCELONA, Spain, Nov. 24 /PRNewswire/ -- For the first time, a broad international index measures countries' attractiveness to investors in Venture Capital (VC) and Private Equity (PE) limited partnerships. Sixty-six countries, spanning six continents, were included in the survey.

The Global Venture Capital and Private Equity Country Attractiveness Index was developed by IESE Business School's International Center for Finance Research in collaboration with Ernst & Young. Led by IESE Professors Heinrich Liechtenstein and Alexander Groh, the index reveals contrasting levels of opportunity and diverse challenges in today's post-recession economy for international risk capital.

"This is the first time that VC/PE country attractiveness has been assessed to such an extent," said Groh, "and we believe the index is a more accurate reflection of actual investment on the ground to that of similar reports in the same field."

Countries that fared well in the ranking excelled in enhancing "competition, openness and professionalism" within their borders, explained Prof. Liechtenstein.

The top 10 countries are:

1. United States
2. Canada
3. United Kingdom
4. Australia
5. Hong Kong
6. Singapore
7. Japan
8. Switzerland
9. Netherlands
10. Germany

The index is based on six key criteria that investors cite as most important: economic activity; the depth of capital markets; taxation; investor protection and corporate governance; the human and social environment; and entrepreneurial culture and opportunities.

"As LPs consider where to allocate their capital, and PE and VC funds look to make the right investments themselves, the investing landscape will continue to evolve. There will undoubtedly be comparative winners and losers, and the Global VCPE Country Attractiveness Index will prove to be a valuable tool in helping funds navigate through this uncertain time," said John Harley, Global Private Equity leader at Ernst & Young.

  For more information:

  IESE Business School (in US)
  Marie T. Oates
  moates@iese.edu
  Tel. 646-742-2843

  Project website:
  http://vcpeindex.iese.us/

About IESE

Established 50 years ago, IESE has repeatedly been ranked in the top 10 business schools in the world. IESE was listed #1 in this year's Economist MBA ranking. In the spring of 2010 IESE Center in New York, a state-of-the-art executive education and research facility, will open.

About Ernst & Young

Ernst & Young is a global leader in assurance, tax, transaction and advisory services. Worldwide, our 144,000 people are united by our shared values and an unwavering commitment to quality. Visit www.ey.com

SOURCE IESE Business School

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