This NFL Hall of Fame quarterback's investment firm is on a tear

Steve Young

REUTERS/Staff Photographer

Former NFL quarterback Steve Young has moved on to the world of private equity.

NFL Hall of Fame quarterback Steve Young is used to racking up accolades.

He's a three-time Super Bowl champion who is decorated with accomplishments from his collegiate and pro career.

He is also running a private-equity firm that is outperforming many of its competitors.
Young is cofounder and partner at HGGC, formerly known as Huntsman Gay Capital Partners.

HGGC closed its second fund in early 2015, raising more than $1.3 billion. The fund has already lined up some big deals, including AutoAlert, which looks to bring data analytics to the automotive market, and the insurance-services firm Pearl Holding Group.

Going long

HGGC's first fund posted an internal rate of return of 18.3% and an investment multiple of 1.7 times. It raised that fund in 2008, according to Calpers data. According to Cambridge Associates, which tracks the performance of private-equity firms, the upper quartile of private-equity funds raised in 2008 is 1.76 times for investment multiple and an IRR of about 22%. The multiple reflects how much cash a fund made compared with the investor's initial investment.

Put another way: Young's investment firm is matching or besting some of the leading US private-equity firms, and it is only on its second fund.

Business Insider reached out to Young via email, but he did not respond. Before cofounding HGGC, Young worked with private-equity firms including Sorenson Capital in Utah and Northgate Private Equity Partners, a California fund that was launched by former NFL players Brent Jones and Tommy Vardell, among others.

It seems Young, who is reportedly worth $40 million, is determined to keep going long after so much success on the gridiron.

NOW WATCH: Jeff Sachs: Here's why the Middle East is going to get a lot worse