Private Equity - Trends

Strategic guidance supports investment decisions across industries. Research analyzes macroeconomic trends and targets undervalued sectors poised for growth. Roadmaps oversee add-on acquisitions, operational improvements and eventual firm exits.

In 2024, private equity companies will prioritise five major trends. The use of artificial intelligence will set the standard – followed by infrastructure spending – especially in relation to energy-related projects. As businesses look to increase their operational and strategic efficiency, value generation will also be a top focus.

Private equity continues to play an important role in fueling innovation by providing growth capital and operational expertise to companies across all sectors. Technology is also enhancing PE firms’ due diligence, portfolio monitoring and value creation toolkits. AI and advanced analytics are powering new investment strategies and deal sourcing methods. Meanwhile, impact and ESG-focused funds are directing capital towards sustainable outcomes that balance both financial returns and positive real world impacts.

Sponsors and portfolio companies started looking at liquidity and excess deposits solutions that optimize returns but minimize risk. Some of these solutions include money market deposit accounts (MMDAs), money market funds (MMFs) and insured cash sweep (ICS) accounts. Each of these products has a different underlying risk profile and corresponding market return.