In Mergers & Acquisitions, Bryan Hunkele, Debra Lussier, Isabel Dische and Laurel FitzPatrick Share Insights on Current State of Fundraising Market
So far in 2022, fundraising efforts have seen a significant drop in allocations, with macroeconomic uncertainty, allocator diversification, industry overcrowding, lack of exits and lack of liquidity as the main reasons for the pullback.
Mergers & Acquisitions cited Ropes & Gray’s latest PErspectives piece in an article about these challenges facing the fundraising market, where Bryan Hunkele, Debra Lussier, Isabel Dische and Laurel FitzPatrick, partners in Ropes & Gray’s asset management practice, shared insight on additional factors at play. They say that a squeeze on liquidity and allocators seeking diversification could be slowing down private equity fundraising. The team believes the drop in public equities and bonds has made private equity a bigger portion of LP portfolios, which may have compelled some to diversify.
More on the topic in Ropes & Gray’s latest PErspectives piece here.