PE Fundraising Hits 5-Year High In 2013

By Editorial 02 January, 2014

During 2013 private equity firms around the world raised USD356bn, the largest amount since the beginning of the global financial crisis in 2008 and an 18.6 percent year-on-year increase, according to a report by Private Equity International's Research & Analytics division.

The global total was raised by 580 funds, with 119 accounting for just over USD80bn.

The uptick was largely driven by North America-focused funds, with USD119bn earmarked for the region – a 33 percent increase from the USD89bn raised last year. Western Europe saw a slight increase, too, with funds in the region raising USD35.8bn, compared to USD27.3bn last year.

On the other hand, capital raised by funds targeting Asia-Pacific has declined since 2011, when just under USD62bn was raised. In 2013, Asian funds collected just USD27.7bn – roughly on a par with last year's figure.

Emerging market funds have fallen out of favor with investors as growth rates have slowed, and funds have struggled with realizations in some key markets, notably China and India.

Buyout funds and corporate private equity continued to represent the largest pool of capital raised (USD169bn), followed by venture capital and growth equity combined.

Tags: Western Europe | Private Equity | India | Accounting | China | Venture Capital | Expats | Europe | Asia-Pacific | North America |


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