Private equity is an alternative investment class and consists of capital that is not listed on a public exchange. Private equity is composed of funds and investors that directly invest in private companies, or that engage in buyouts of public companies, resulting in the delisting of public equity.
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With the 2020 financial year nearly out of sight, savvy readers will have noticed that private equity dry powder has grown tremendously. The related question that inevitably comes to mind is when will these funds be allocated to new deals, and what will the overall deal volume look like in 2021. The past year hasContinue reading “Private Equity Deal Volume Rising Following a Tumultuous Year”
The Private Equity (PE) industry has grown rapidly and has garnered vast attention from the likes of regular news outlets, financial press, as well as politicians. Why? It’s simple. The private markets have hit an all-time high at $6.5tn in 2020 as investors have shifted capital from public asset classes in search of upside, andContinue reading “Private Equity Essentials: Everything You Need to Know”
Being around since the 1990s, SPACs (Special Purpose Acquisition Companies) have become cool once again. SPACs are defined by some as a smart financial innovation that provides a cheaper and faster path to becoming a public company and as one of the hottest asset class in the markets. Others describe this model as a hazardousContinue reading “SPAC Mania 2020: No Free Lunch at Wall Street”
SoftBank’s almost $100bn-sized Vision Fund was set to pave the way for new innovations and turn tech investing into alchemy. “If I am going to do a fund it has to be big enough to disrupt the whole technology world”, promised Son Masayoshi. So much for a vision. Despite prominent investments in Uber and ByteDance,Continue reading “So much for a Vision”
European private equity in 2019 could not be described as anything other than a successful year for the industry. Post-financial crisis records were broken, and the industry overtook 2018 by 16% in terms of deal count, amounting to 2,151 deals at a combined deal value of €260bn. Our European Private Equity Landscape Map gives anContinue reading “European Private Equity Landscape”
Our European Private Equity Top 5 Map illustrates the 5 largest funds in 6 respective European regions, along with the largest US funds dedicated for European investments. We have focused on reporting the latest private equity buyout fund size, not taking total AUM into account. Funds are placed where their main investment focus is insteadContinue reading “The Leading European Private Equity Funds”
Post-GFC (Global Financial Crisis) analyses suggest that the Private Equity (PE) sector missed the best buying opportunity due to overly cautious decisions of GPs and LPs. For the PE model, the GFC was a first real test of their reactive strategies and the questions that arose were whether the firms will succeed at refinancing theirContinue reading “Will Private Equity Seize the Upside in a Downturn?”
I. ESG in the PE industry In 2004, the then-UN general secretary Kofi Annan wrote a letter to 50 CEOs in the financial industry, urging them to further integrate sustainability into capital markets. This was the beginning of the PRI (Principles for Responsible Investment). Today, over 2,000 funds have signed the United Nations-supported PRI, upContinue reading “Green or Green – Growing ESG Importance in the Private Equity Industry”
The past five years were fuelled with success for the private equity industry. During these years, more money has been raised, invested and distributed back to investors than ever before in the industry’s history. Let us give some figures: between 2000 and 2019 the number of Private Equity-backed companies in the US rose from lessContinue reading “The Rise and Rise of Private Equity”
Alternative investments will hit record $14 trillion AUM in 2023. What about PE? The popularity of the alternative investments space does not come as a novelty in a period in which investors increasingly seek to shy away from the less attractive returns of traditional asset classes. The news is however, that forecasts see the industryContinue reading “Alternative investments will hit record $14 trillion AUM in 2023. What about PE?”
On 30.01.2018, Blackstone announced to buy a majority stake in the data business of Thomson Reuters, the world’s second largest financial information provider. It’s the private equity group’s biggest purchase since the financial crisis, pitting the firepower and network of Stephen Schwarzman, who oversees $387bn in Blackstone funds, against fellow billionaire and former New YorkContinue reading “The return of megadeals: Blackstone buys Thomson Reuters’ data unit for $17bn”
Private Equity – What is it? Private equity (PE) has gained a great amount of influence in today’s financial marketplace, but only few people actually understand the ins and outs of the industry. This quick article (less than “360” seconds long!) breaks down the topic, discussing in brief (i) the different types of PE strategies;Continue reading “Private Equity – The best asset-class of the last 25 years”
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- Low inflation / base rate environment pouring more institutional money in alternative investment formsLow inflation / base rate environment pouring more institutional money in alternative investment forms – By Julian Habsburg and Frederic Klaus