The FT has a feature this week about where private equity funds may be deploying capital in the next year. It highlights the fact that PE funds are still sitting on large amounts of capital but the pace of investment has been slow.
Fundraising has also been brisk this year, much higher than previous few years. So where will the money go, asks the FT. The answer it came up with is Southeast Asia and other emerging markets, such as Brazil. The pros and cons of both regions are weighed.
Looking still further, the FT says that “traditional markets” in Europe and North America “will continue to attract investment despite the financial crisis and growing regulatory regimes”, with Asia-based investors attracted to European investments. The report was not bullish on European venture capital.