Dry Powder: The Private Equity Podcast
We don't talk a lot about the macro world on Dry Powder because we're so concerned with the micro world of what makes a good deal, but it seems macro is now nearly impossible for investors to ignore.
Karen Harris, managing director of Bain's Macro Trends Group, has never observed quite so many risks bubbling up seemingly everywhere, all at once.
“Many of the risks that you and I have been talking about for years: rising rates, declining workforces, demographics, geopolitics shifting, they set the stage for a transitioning economy,” Karen explained to me in the latest episode of Dry Powder. “Then we had a pandemic, a kinetic war in Europe, and boom, many of the risks that we were aware of in the periphery became a crucial part of how we think about the operations of businesses.”
On today’s episode of Dry Powder, Karen and I discuss this unprecedented convergence of macro risks and how investors can game out the possible outcomes for the global economy, from best- to worst-case scenarios.