Report

Bain & Company's Global Private Equity Report 2012

After an uncertain start to 2012, the contours of a new future for private equity are finally coming into sharp focus.

By Hugh MacArthur, Suvir Varma, Graham Elton, and Bill Halloran

Published on March 15, 2012
min read


As 2012 began, the outlook for private equity was shrouded in uncertainty: Buyers and sellers finding it hard to agree on value. Anemic exit markets. Ominous signs for fund-raising. An industry awash in commitments, with nearly $1 trillion in dry powder. Almost $2 trillion worth of assets still on general partners’ books, more than 75% of them valued below carry hurdle rates. But as we show in Bain & Company’s Global Private Equity Report 2012, the contours of a new future for PE are finally coming into sharp focus. In this report, we explain the new realities and describe what PE firms that want to continue to produce top-tier returns will need to do to prepare. This report provides a timely look at every major aspect of private equity, with fresh data and insights from surveys and interviews with leading industry insiders. We also bring to bear the experience and judgment that Bain & Company derives from its unparalleled position as the leading adviser to the private equity industry and its stakeholders.

As 2012 began, the outlook for private equity was shrouded in uncertainty: Buyers and sellers finding it hard to agree on value. Anemic exit markets. Ominous signs for fund-raising. An industry awash in commitments, with nearly $1 trillion in dry powder. Almost $2 trillion worth of assets still on general partners’ books, more than 75% of them valued below carry hurdle rates.

But as we show in Bain & Company’s Global Private Equity Report 2012, the contours of a new future for PE are finally coming into sharp focus. In this report, we explain the new realities and describe what PE firms that want to continue to produce top-tier returns will need to do to prepare.

This report provides a timely look at every major aspect of private equity, with fresh data and insights from surveys and interviews with leading industry insiders. We also bring to bear the experience and judgment that Bain & Company derives from its unparalleled position as the leading adviser to the private equity industry and its stakeholders.