The banking crisis has caused in the industry for disillusionment. Source: AP
FRANKFURT. A survey of 110 investors, according to one in three of them go from the fact that the majority of the fund manager is not able to rehabilitate ailing investments appropriately. It simply lacks the operational skills, the findings.
The investigation of Sekundärfondsanbieters Coller Capital provides all the critics ammunition, accuse the industry to have leveraged long only with the help of heavy debts, the return on equity. With the subprime crisis, this practice has, however, found an abrupt end. The fact that there is still largely slowdown in private equity deals is likely to be an expression of the problems in the search for an operational strategy.
Also with regard to the returns of private equity has provided the study found that the crisis for disillusionment. The proportion of those donors had brought their private equity investments over the lifetime of less than eleven percent return was "dramatically" increased to 51 percent. In the last survey in 2009, the proportion at only 29 percent was lower.
However, the investors want to continue their involvement in private equity tend to expand more. The reason appears to be rather obvious: Compared to traditional equity investment holding companies have done better despite the crisis.
Tags: private equity managers, operational skills, private equity investments, private equity deals, coller capital
