Maybe bigger really is better. A new report from PitchBook Data shows that private equity funds of more than $1 billion outperformed smaller funds, including venture capital funds, nearly every year since 1998. And the very biggest private equity funds -- those of $5 billion or more -- had the highest internal rate of return at 11.7 percent.

Even more interesting, the report shows that the private equity asset class -- including buyout funds and growth funds -- has consistently outperformed venture capital over the past 10 years.

That should grab the attention of college endowments, pension funds and other money managers who invest in private equity and venture capital as they consider capital allocations in the new year. Here's a look at how private equity compares against venture capital in terms of internal rate of return.

As we've reported in the past, it is getting harder for venture capital firms to raise money. And that's leading some to conclude that a massive consolidation is in the works in the industry.

There's certainly fewer dollars flowing into the private equity asset class. PitchBook found that $135 billion was invested last year, a drop of 58 percent when compared to 2008 totals.

For the full report, visit PitchBook Data here. Here's a look at how the big PE funds do in comparison to smaller funds.