"They Invest": Interview with Josephine Loreal - Managing Director - Third Party Distribution - Astorg

1/ Finance is often perceived as a male-dominated industry. What attracted you to this sector? It's true that finance remains a field largely represented by men.

1/ Finance is often perceived as a male-dominated industry. What attracted you to this sector?

It's true that finance remains a field largely dominated by men. And private equity is absolutely no exception! However, being a woman in this world can be a real asset, particularly by offering different perspectives and contributing to a greater diversity of viewpoints. At Astorg, gender parity is a priority: several women hold key positions, and we aim to reach the ambitious goal of 50% female representation by the end of 2025.

Personally, I grew up in a family of entrepreneurs, with parents who were both demanding and very open-minded. They instilled in me a taste for hard work, pushing my limits, and critical thinking. I enjoy taking on challenges and stepping outside my comfort zone, as this keeps me alert and helps me grow. I've often chosen slightly more challenging paths because they're less traveled. They offer different perspectives and sometimes help you move forward faster . For me, audacity is a virtue, and in moments of doubt, I remind myself of this mantra: "You take risks when you don't!"

Finance, with its hyper-competitive and constantly evolving environment, is a very demanding yet fascinating world. At Astorg, we support talented entrepreneurs in specialized sectors. Every day is different, which makes it incredibly stimulating. I love my job and feel completely at home in it. My message to women attracted to finance? Go for it! You absolutely belong in this world.

2/ How would you explain “Private Equity” to your best friend?

I always try to use simple terms to explain my work and avoid jargon. Private equity is actually quite simple and very concrete: our job is to finance and support unlisted companies. We certainly provide financial capital, but not only that. We also provide human capital, with experts in various fields of expertise, and an effective "toolbox" to create value and help them transform. It's a true partnership, based on a strong alignment of interests. Our goal is to enable them to accelerate their development and unleash their full potential. In the case of Astorg, we most often act as the majority shareholder. This means we play a key role as active participants in governance, with a significant impact on the company. We have a medium- to long-term vision, far removed from the dictates of quarterly results as is the case with publicly traded companies. If we want a strong economy, we need solid companies that grow, have a global reach, innovate, and create jobs. We make a modest contribution to this dynamic and to financing the real economy.

3/ Is Private Equity, once reserved for the “happy few”, now accessible to individuals? Is it an asset class for everyone?

Private assets, once reserved exclusively for institutional investors or wealthy investors (family offices), are becoming increasingly accessible to private investors . The democratization of unlisted assets in France has seen significant progress in recent years, driven primarily by:

– The legislator, who is putting in place a more flexible regulatory framework to direct French savings towards the real economy.

– The growing interest of private investors. What are they looking for? Returns, resilience to market volatility, diversification, while giving meaning to their savings.

Private equity largely meets all of these criteria, especially in the current uncertain economic and geopolitical context. This asset class has demonstrated its ability to transcend economic cycles, to be more resilient, and therefore to deliver superior long-term returns .

– And finally, the desire of Management Companies (GPs) to diversify their investor base and to have additional sources of income.

This trend is expected to continue because it is based on long-term needs. And this development opens up new opportunities for the entire industry. Of course, this asset class is not suitable for everyone, as it requires the ability to tie up funds for several years and an acceptance of risk. These new investors need support and training.

4/ On a personal level, have you implemented any investment strategies?

In my personal life, I try to be consistent with the advice I give my clients. A large portion of my savings is invested in private equity , as I am convinced of the strengths of this asset class. But I try to diversify this exposure across different segments: secondary funds, LBO funds, and also according to fund size and geographical regions.

Furthermore, I greatly appreciate the PER (Retirement Savings Plan), an excellent long-term vehicle for preparing for retirement and perfectly suited to Private Equity funds. I also have wealth management funds and global funds in listed equities, within a life insurance policy. Finally, I include a bond allocation to balance my portfolio.

Operating in this world, I prefer teams I know well, in which I have confidence, with clear and disciplined management processes. But the golden rule remains to fully understand what I am investing in and not to be influenced by fads.