Data & Intelligence
In Case You Missed It: EMPEA’s 2014 Global Limited Partners Survey
Posted On: 02 May 2014
According to EMPEA’s 2014 Global Limited Partners Survey, which was released earlier this week, two-thirds of LPs view the risk profile of private equity in emerging markets as unchanged over the past year, suggesting that long-term investors remain relatively unfazed by recent volatility. Though 78% of respondents assess their EM PE portfolio performance as having met or exceeded expectations, LPs have adjusted their net return expectations downward for the second consecutive year. This also corresponds to more bullish expectations for PE funds for developed markets than in the 2012 and 2013 surveys. Nonetheless, the bulk of LPs continue to expect EM PE funds will deliver higher net returns than their developed markets counterparts, with 57% of investors anticipating net returns of 16% or greater from their EM PE portfolios.
Non-BRIC markets retain the top three spots as the most attractive markets for GP investment for the second year in a row. Latin America (ex. Brazil) regains the lead after it was displaced by Sub-Saharan Africa in the 2013 survey. Southeast Asia and Sub-Saharan Africa round out the top three.
For additional analysis on LPs’ sentiment towards specific regions/markets, check out the dashboard below.
Rashad Kaldany | Executive Vice-President and Growth Markets, CDPQ
David Rubenstein | Co-Founder and Managing Director, The Carlyle Group