There are a growing number of performance benchmarks for the PE industry coming out of partnerships between industry players and academic institutes, as well as commercial providers. Newer ones like Burgiss Capital IQ and Pitchbook, join established data providers, such as Preqin and Thomson One. This month another was officially launched, the INSEAD–Pevara Private Equity Navigator, a publication that provides analysis “assessing the overall activity and performance in the private equity industry by combining a reliable and distinct dataset with the analytical rigor of a top academic institution”.
The data set is entirely based on cash flows for 2,650 funds reported by hundreds of LPs on Pevara’s platform. The inaugural issue took a look at disbursements versus capital calls since 2005, as well as comparing US and European buyout rates for return using various mathematical models. Analysts found that distributions bounced back strongly in 2010, more than tripling to USD 106.34 billion and in 2012 saw distributions exceeding capital calls, which is a fairly rare trend. It is a sellers’ market, says the report, and it is easier to find the exit than it is to find new deals to invest in. (Image source Private Equity Navigator)