|
Laxman Pai, Opalesque Asia: Private capital markets have been outperforming equities, offering investors opportunities with higher yields and portfolio diversification, according to a study. Made up of family offices, private equity (PE), hedge funds, venture capital (VC), and private debt, private capital provides a compelling alternative to public markets.
According to the latest report by Global EY Private Leader, private markets have enjoyed a remarkable period of sustained growth in the past decade, more than doubling from US$9.7 trillion in assets under management (AUM) in 2012, and are estimated to have reached $22.6 trillion AUM by the end of 2022.
Several factors have driven this trend, including investors' search for higher yields, increasing numbers of HNWIs with more investable wealth, and the largest intergenerational transfer of wealth in history. As private capital markets have become larger and more liquid, many successful companies have chosen to stay, or go, private.
Across the globe, the number of delistings has shown a steady upward trend since 2012, with a particularly steep rise in the Americas and APAC. Even in EMEIA, where the volume of de-listings has fallen, this has been counterbalanced by a decline in IPOs, which significantly reduced the total number of listed companies.
In the Americas, the number has barely changed since the start of the century, while many more large businesses have opted to go (or stay) private. In EMEIA, t...................... To view our full article Click here
|
RSS
