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Negative sentiment on private equity and real estate among institutional investors is improving. According to Preqin’s half-yearly Investor Outlook, a growing number of pension funds and other investors expect better returns in the coming year. Despite two challenging years due to rising interest rates, many investors are now optimistic about the future of these alternative investments. Preqin’s survey of 185 institutional investors highlights this shift in expectations. https://lnkd.in/gwNATAxe

Private markets have significantly outpaced public markets in terms of growth over the last 20 years. In this short clip, Chris Osmond, CFA, CAIA®, CFP®, CFP®, explains why private equity is an asset class worth exploring ⤵️ Stream the full discussion for a more in-depth conversation on opportunities in alternative investments! https://bit.ly/3w3qn1i #LiveLifeLiberated #LiberatedWealth #PrivateMarkets #PrivateEquity #InvestmentOpportunities

This Bloomberg article explores the evolving landscape of private equity, highlighting the shifting power dynamics as investors assert their influence in the face of market challenges. The demands from investors signal a departure from traditional dynamics, requiring private equity firms to adapt to the changing environment. Below are some key takeaways. 1.     Influential investors, including sovereign wealth and state pension funds, are putting pressure on private equity firms to release capital from old funds before committing dollars to future funds. 2.     Private equity is facing challenging market conditions, leading to increased competition for investor dollars and a marked slowdown in exits. LPs are leveraging this situation in negotiations, reshaping the power dynamics. 3.     LPs’ demands to secure commitments range from fee discounts and co-investment opportunities to greater transparency on underlying assets, committee representation, and unconventional requests like a share of the fund's management fee or a chance to buy a stake in the fund manager. 4.     Fund managers have been slow to exit assets in these uncertain markets, hindering distributions, so managers are instead using leverage and secondary sales to release funds.  5.     The use of net-asset-value (NAV) financing has become more prevalent, though critics warn of potential dilution of returns in the long run. Additionally, some private equity firms may be taking out loans at the management company level to meet fund commitments. https://lnkd.in/efKb_7wf #privateequity #privatemarkets #limitedpartners 

What’s the current outlook for private equity? Join speakers from our Toronto and New York private equity teams on May 22, as they discuss both direct investment and fund investment perspectives, and unpack the latest private equity trends and developments. Register here: https://bit.ly/3UjMGHT #privateequity #institutionalinvestors #capitalmarkets #financialservices #banking Laurie Duke | Lauren Hulme | Meghan McKeever | Max Shakin

This Bloomberg article explores the evolving landscape of private equity, highlighting the shifting power dynamics as investors assert their influence in the face of market challenges. The demands from investors signal a departure from traditional dynamics, requiring private equity firms to adapt to the changing environment. Below are some key takeaways. 1.    Influential investors, including sovereign wealth and state pension funds, are putting pressure on private equity firms to release capital from old funds before committing dollars to future funds. 2.    Private equity is facing challenging market conditions, leading to increased competition for investor dollars and a marked slowdown in exits. LPs are leveraging this situation in negotiations, reshaping the power dynamics. 3.     LPs’ demands to secure commitments range from fee discounts and co- investment opportunities to greater transparency on underlying assets, committee representation, and unconventional requests like a share of the fund's management fee or a chance to buy a stake in the fund manager. 4.     Fund managers have been slow to exit assets in these uncertain markets, hindering distributions, so managers are instead using leverage and secondary sales to release funds.  5.     The use of net-asset-value (NAV) financing has become more prevalent, though critics warn of potential dilution of returns in the long run. Additionally, some private equity firms may be taking out loans at the management company level to meet fund commitments. https://lnkd.in/erKvmkMP #privateequity  #privatemarkets #limitedpartners 

Private equity is on the rise, but is it right for your portfolio? Our new blog breaks down the differences between public and private markets and what you need to know before investing. 👉 https://hubs.li/Q02RyF-Z0 #InvestmentTips #PrivateMarkets #FinancialPlanning #WealthManagement

Private markets have significantly outpaced public markets in terms of growth over the last 20 years. In this short clip, Chris Osmond, CFA, CAIA®, CFP®, explains why private equity is an asset class worth exploring ⤵️ Stream the full discussion for a more in-depth conversation on opportunities in alternative investments! https://bit.ly/3w3qn1i #LiveLifeLiberated #LiberatedWealth #PrivateMarkets #PrivateEquity #InvestmentOpportunities

These are among the #investment must reads we found this week for #wealthadvisors.

🔲 Title: "BlackRock's Larry Fink Discusses the 'Barbell Effect' in Re-Emerging Fixed Income Investments" Hey everyone, just came across an insightful article on the Financial Times discussing how BlackRock's Larry Fink is shedding light on the 'barbell effect' as investors are turning their focus back to fixed income. This shift in investment strategy is definitely worth digging into, especially in today's evolving market landscape. Check out the full article for a deep dive into what Fink has to say on this fascinating topic. #InvestmentInsights #FixedIncome #MarketTrends https://ift.tt/4baB8nt

These are among the #investment must reads we found this week for #wealthadvisors.