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Laxman Pai, Opalesque Asia: Institutional investors remain highly engaged with private capital markets, even as the impact from COVID-19 lingers and the U.S. presidential election looms large, said a survey.
According to a new survey from Eaton Partners, the strategies getting the most attention include buyouts (60%), special situations (46%), distressed (41%), and venture (41%).
More than two-thirds (68%) believe the best opportunities can be found in North America, as compared to Europe (18%) or Asia (14%), revealed the 'Eaton Partners LP Pulse Survey'.
Roughly 4 in 10 (39%) of those limited partners (LPs) surveyed say they plan to either modestly or significantly increase their private market allocations before year-end. Only 14% are cutting allocations, and 47% are making no changes at this time.
70% say LPs are not facing any liquidity issues. 45% are primarily investing with incumbent managers. Only 15% are dealing solely with new managers, and 40% are using an even mix of both.
While an overwhelming majority (83%) don't expect to resume physical meetings until sometime next year, two-thirds (66%) say they can make a new investment without face-to-face interactions, said the survey.
When it comes to the pandemic's impact on the private capital markets, LPs are split over whether the biggest impact from COVID-19 is behind us (52%) or still to come (48%).
"Findings from our latest survey are in line with what we are hearing during our daily...................... To view our full article Click here
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