The Pulse of Private Equity – 4/17/2017

PB icon
Content hub / Article / PitchBook / The Pulse of Private Equity – 4/17/2017

Some LPs still keen on co-investment
Apr 17 2017 PitchBook

In 2016, limited partners participated in no fewer than 76 US private equity transactions, the cumulative value of which hit no less than $33.8 billion, more than any other year in the past decade excepting 2007. Moreover, 2017 is off to a strong start in terms of value at least, with $9.8 billion tallied thus far across a slower-paced 13 deals. The steady upward trend since 2010 is unmistakable if volatile, however, testifying to not only the growing popularity of co-investment among LPs but also the ramping up of those institutions already experienced with such strategies. This is not necessarily news – many have pointed out over the past few years the attraction of avoiding fees and increasing rewards directly reaped from investment, while also acknowledging that it is no small task to build up an in-house team capable of handling direct investments a la general partners. Acquiring such capabilities is time-consuming, expensive and inherently riskier, in the end. It consequently won’t end up being a choice for many LPs – nor is it likely their best option – but shall remain more the domain of those firms that are already either well-versed in employing direct investing strategies, such as Canada Pension Plan Investment Board and Ontario Teachers’ Pension Plan. That said, there could be a slight increase in the ranks of LPs that try to get the best of both worlds and subscribe on to funds that allow for the possibility of co-investment through sidecar pools of capital or other means.

Making sense of private credit defaults

Webinar

Making sense of private credit defaults

What does private credit default data really tell us? Join our exclusive webinar featuring experts from KBRA, Moody's, Fitch Ratings, and S&P Global to find out.
Register
US Private Credit League Tables H1'26

Report

US Private Credit League Tables H1'26

The definitive rankings covering private credit activity in H1'26.
Download
PitchBook's Q2 2026 US PE Breakdown

Report

PitchBook's Q2 2026 US PE Breakdown

Software freezes and energy powers on as US PE deal value falls 38% in Q2 2026.
Download
Private Debt Investor New York Forum

September 15-16, Hudson Yards, New York

Private Debt Investor New York Forum

Bringing together the investors, managers and advisers shaping the next phase of the market — 200+ allocators and $10.6 trillion of LP capital expected. Benchmark strategies, hear from leading LPs, and cut through market noise over two unmissable days.
Learn more
Credit Journal-Private Credit

Report

Credit Journal-Private Credit

Fitch Ratings’ latest Credit Journal series is a subject-specific, curated compilation of in-depth research and commentary. This edition explores the growing world of private credit, including non-bank lending across business development companies.
Download

Latest news

    Lack of new issues clouds CLO market

    It’s been boom time in the leveraged loan market but now that market has eased off, what are the implications…

    Read More

    Multiples on PE buyouts

    This quarter marks our integration of SPI by StepStone as the primary source for US buyout valuation metrics for the PE Breakdown.

    Read More

    US Leveraged Loan Issuance Slows to $76.5b in July

    The US leveraged loan market has continued to slow from the May level of $104.7b, with approximately $76.5b priced in…

    Read More