Intelligent Investors: "The market appears more stable than two years ago"

Private Equity has weathered a challenging period, but the outlook is improving. In a recent interview with Intelligent Investors, our Managing Director Hans-Christian Moritz shared his perspective on the latest market developments.

Key insights:

• Periods of economic weakness act as a stress test for business models, which allows for better risk evaluation. At the same time, they offer opportunities for experienced private equity managers.

• Capital is currently being deployed very selectively, as exits are still lagging overall expectations. Hence, investors are re-thinking allocations and focusing more on segments they see as generally being more attractive, such as the lower mid-market.

• Demand in the lower mid-market remains high, leading to increased demand for the most successful managers. As a result, their funds are largely unaffected by the broader fundraising slowdown and continue to close quickly and oversubscribed.

Read Interview (German)