Dry Powder: The Private Equity Podcast
I often turn to Jim Strang, the managing director and chairman of EMEA at Hamilton Lane, for his fresh, occasionally contrarian takes on the private equity industry.
Take for instance, the question of how to put an economic downturn into perspective. It was, by survey, the No. 2 concern of the private equity industry this year—and that was before anyone had heard of novel coronavirus. Jim, however, is unfazed.
“We know this asset class is actually very good at protecting value,” Jim told me on the most recent episode of Dry Powder. “If we go through some sort of event where the world shakes and public market volatility spikes and all sorts of crazy things happen, the great thing about private markets is it’s the only asset class in the world where the insiders make the liquidity decisions.”
This habit of bucking conventional wisdom is one reason I asked Jim to sit down for an interview about the prospects of the industry as it passes through this turbulent time and beyond. Macro shocks notwithstanding, Jim says, the PE industry has ample room for growth. “It feels like a big old industry,” he said. “Let’s call it $6 trillion, but the public bond and equity market is something like $180 trillion. We’re six.”
The Private Equity Podcast
In our podcast series, Bain's Hugh MacArthur interviews leading experts on the trends and opportunities that will redefine the private equity industry.
Catch new episodes by subscribing to Dry Powder on Apple Podcasts, Google Podcasts, Spotify or wherever you may listen.
First published in marzo 2020