Private Equity : Back to the Future
Créé le
01.02.2011-
Mis à jour le
04.03.2011To foresee the future of Private Equity (PE), it is necessary to understand its past. In recent years vast amounts of data have become increasingly available to academics, who proceeded to study the structure, conduct, and performance of the PE industry. In the wake of the financial crisis, what long-term insights can we learn from the past 30 years of PE research?
Here is a suggestive list of some of PE's lasting features – but also of some issues that might cause the industry to change.
PE will continue to be a highly cyclical, boom-and-bust business
Data provider Preqin points out that in 2010 the total number of active PE fund managers decreased for the first time since records began, while the European Venture Capital Association (EVCA) reports that capital raised by European PE funds dropped 80% in 2009. These facts underline the deep impact of the crisis, but they are not outlandish from an historical perspective. Fundraising fell almost 50% ...
