World & BusinessPrivate equity’s $100 billion in ‘forever funds’
Reuters Breakingviews describes patchy performance so far across perpetual private-equity funds and warns of a high risk of an eventual investor exodus.
TLDR
In a commentary, Reuters Breakingviews says Blackstone, KKR, EQT and peers have raised $100 billion for perpetual private-equity vehicles. It says no two look alike and performance so far is patchy. The commentary argues that because cashing out is investors’ only option to bank returns, the risk of an eventual exodus is high.
Private equity’s $100 billion in ‘forever funds’
Reuters Breakingviews describes patchy performance so far across perpetual private-equity funds and warns of a high risk of an eventual investor exodus.
TLDR
In a commentary, Reuters Breakingviews says Blackstone, KKR, EQT and peers have raised $100 billion for perpetual private-equity vehicles. It says no two look alike and performance so far is patchy. The commentary argues that because cashing out is investors’ only option to bank returns, the risk of an eventual exodus is high.