The private equity industry has rediscovered its mojo. Bloomberg on the stunning change in sentiment around PE driven by peaking rates’ confidence bringing more predictability to the cost of capital 👉 https://lnkd.in/ew3c3WNT
▪️The big US buyout firms — KKR, Blackstone, Apollo Global Management, Inc., The Carlyle Group, EQT Group — strongly outperformed the stock market in the second half of 2023.
▪️ Buyout firms should find it easier to refinance existing investments and initiate new transactions that see idle client funds start earning fees.
▪️With the S&P 500 at a new record high, the stage is set for a potential resurgence in M&A. This could lead to buyout firms exiting maturing investments and taking a cut of any gains.
▪️Rising stocks are rebalancing institutional investors' portfolios between public and privatemarkets, reducing the weighting of illiquid assets, freeing up funds