While many investment-related articles focus on listed equities, the market with greater profit potential is most definitely private equity (PE).

And you don't need a billionaire next door to get you in. You just need to do your homework and think strategically.

In fact, there are tens of thousands of private equity opportunities in the United States alone – and they're all ripe for investment. To put that into perspective, the number of public companies equates to only 19% of the total number of private u.s. companies with 500 or more employees.

And with such a low interest rate environment, assets are continuing to pour into the space.

Take a Hike

With equities, one could go on a familiar, well-marked trail with a map and a destination, or one could venture out into the wilderness with no map and only their knowledge of the outdoors. This is PE.

While the path may be less familiar, the destination is more likely to be a breathtaking, untouched view. In other words, PE, unlike a listed stock, is more unique, complex, and unpredictable.

PE is any equity investment that isn't traded on an organized exchange. It's one of many types of investments that fall in the category of an alternative investment and can come in many shapes and sizes – such as a leveraged buyout, angel investment or venture capital, mezzanine capital, or distressed equity.

In other words, the investment can come at many stages of a business's life. In each case, these are private deals between the company and the investor whereby money is exchanged for an equity stake in the business.

There was an explosion of PE deals in 1990. Firms that invested in these deals, both then and today, specialize in the business of providing capital for what they believe are worthy enterprises. They put their capital to work at a risk in the pursuit of exploring new business opportunities, while their clients are both institutional and individual investors who seek their expertise.