Paris, France
September 13, 2005European Private
Equity Funds to Grow by 17.1% through 2009
Report Published by Celent
Celent projects that assets under management at
European private equity funds will rise as Europe becomes the key market
for private equity deals.
The world of alternative investment funds is hot—money
is pouring into private equity funds at an accelerated pace, with
investors chasing above-average returns in a lackluster market. While the
US is the leader in private equity fund assets under management, Europe is
a major player. Europe accounts for nearly US$360 billion in private
equity and venture capital out of a total in excess of US$1 trillion.
In a new report, European Alternative Investment
Overview, Part II: Private Equity Funds and Venture Capital Funds, Celent
provides an overview of Europe’s private equity and venture capital
industries, identifying leading industry players, discussing the prospects
for future growth and analyzing how the pressures in the industry will
impact the various types of asset management firms.
"While investors will continue to
invest in the top private equity funds, many funds will fail to match the
performance of the public markets over the next several years, much less
exceed it," said Lauren Bender,
analyst in Celent’s Securities and Investments group and author of the
report. "In today’s European buying frenzy—much of which is occurring
between private equity firms—some firms will find that they have
overpaid for assets, and they will have a hard time wringing value from
these assets and achieving expected returns. However, investors are
already wary and have become increasingly selective about the funds in
which they invest; while record funds have poured into some funds, others
have failed to even come close to their fund-raising goals," she
added.
Over time, Celent
expects to see the lines between the various alternative investment funds
continue to blur, with private equity and hedge funds partnering and
merging. Eventually there will be several large "alternative
investment" funds that engage in hedge, private equity, venture, and
property investing as the market merits rather than being constrained to
pursue only one of those strategies.
The report provides an overview and analysis of key
market trends, identifying leading industry players and discussing the
industry's prospects for future growth. Celent identifies the forces
making it harder for many players in the alternative investment field to
continue to achieve the above-average risk-adjusted returns which have
made them such a popular class of investments, and analyzes the threat
they pose to other classes of funds.
The report includes a listing of the largest
European private equity fund managers, private equity fund of fund
managers, and venture capital fund managers.
The primary countries covered in the report are the United
Kingdom, France, and Scandinavia.
This report is the second of a two-part series on
European alternative investment funds. Part I focuses on European Hedge
Funds, Hedge Funds of Funds, and Property funds. Part II focuses on
Private Equity funds and Venture Capital funds.
The 43-page report contains 24 charts and 3
tables. A table
of contents is available online.
|
