March 24, 2022
Despite the impacts of world events and other economic factors affecting Canada’s public market, institutional investors are slated to maintain their private equity allocations this year.
Partner Guy Berman spoke to The Globe and Mail to discuss Torys’ third annual PE Pulse survey findings, which focuses on the expectations for dealmaking, valuation trends and sectors of interest, effects of economic and geopolitical headwinds, and more.
The PE Pulse 2022 report brings together data based on a survey of private equity and pension fund clients along with commentary and insights from Torys’ Private Equity lawyers on the current outlook for the industry.
Noting that the outlook for private equity remains upbeat, with the majority of investors expecting future performance to match or exceed historic returns, Guy said that private equity now has a 30-year track record for strong performance.
“When performance from public markets is expected to be weak, that shapes investment decisions,” he added.
Read: PE Pulse 2022
As found in the survey, The Globe reported that private equity funds are focusing on the intersection of financial services and technology as a major investment theme.
Guy indicated that institutional investors are also keen on opportunities to maintain or increase their stakes in high-quality businesses through continuation funds and co-investments.
“They are particularly keen on co-investment because these investments are typically made on a no-fee or lower fee basis and juice the performance from private equity,” he said.
You can read more about our Private Equity and Principal Investors work on our practice page.
Press Contact
Richard Coombs | Senior Manager, Marketing
416.865.3815