The capital market has changed fundamentally in the last year and a half. After almost 15 years of low interest rates, access to favorable capital capital and steadily rising valuations, the signs have changed in the Markets changed. Due to the current interest rate level, institutional investors have now once again have the opportunity to invest in attractive, interest-bearing products. to invest. This is a completely new situation for private equity. Because over In recent years, many investors have sought out this asset class because because they want to benefit from higher and stable returns outside the low interest rate environment. were able to benefit. If one of the main motives for investments in private equity is largely disappearing, the question arises as to how investors will deal with this asset class and what they will look for in the future when
provider and product selection.
Current environment
Institutional investors are subject to significant regulatory requirements in their investment policy. This includes the proportional limitation of private equity investments depending on the investor’s capital resources. The Dax 40 fell by more than ten percent in 2022, the S&P 500 by almost 20 percent. As a result of the quota effect, the funds available to institutional investors for private equity have been reduced accordingly, even if the percentage requirements remain the same. In addition, in an uncertain market environment, more liquid investments are usually preferred in order to be able to react promptly.
You are welcome to order the item from the FYB webshop: