View all insights
image

Five Ways Deal Performance Data Can Power Up Private Equity Investment Program

By the middle of 2021, private equity buyout deals had already matched the full-year totals for 2019 and 2020. For the first time, buyout deal value is on track to top $1T.

The pressure on GPs has never been more intense. With more competition, more opportunity, and more capital at play in the industry, firms are looking to digital transformation to give them a competitive edge.

Private equity investment data analysis is a key component of this shift. Firms are experimenting with how to incorporate quantitative analysis into their processes to achieve greater efficiency and higher private equity returns.

The advantages of doing so are clear. Those firms which are at the forefront of this shift can triage opportunities more effectively, test their investment theses more quickly, and gain a competitive advantage over their peers.

But even though private equity investment professionals are producing and consuming more data than ever, their use of third-party deal performance data in the decision-making process has focused on fund-level returns. Deal-level returns data has been difficult to find, difficult to trust, and difficult to use effectively.

This is changing. As scalable and reliable solutions are developed, deal performance data is giving firms an unprecedentedly deep level of insight on which to base their decisions. Deal-level analysis has applications in deal sourcing, due diligence, investment thesis testing, sector strategy, benchmarking, and fundraising.

Firms that are embracing the next frontier of private equity digital transformation are gaining greater efficiency, efficacy, and impact in their investment decision-making processes. Here are five ways that deal performance data is helping them to unlock their full potential and achieve stronger, more resilient private equity returns.

Register to continue reading directly on CEPRES.

Read next

image

Family Office LPs: Overcoming Challenges in Private Capital Investment

Family offices face unique challenges in investing in private capital, particularly when balancing financial returns with multi-generational legacy. Active involvement in managing investments can increase the risk of emotional decision-making and asset concentration.

For those investing in private capital markets, a portfolio management solution with proprietary private market data is key to tracking and managing investments effectively. Unlike public markets, private market assets require specialized insights for accurate performance and risk assessment.

Download our whitepaper to discover how advanced portfolio management and data-driven solutions can enhance your investment strategies.

image

Achieving Private Capital Returns to Fund Missions for Endowments and Foundations

Download our whitepaper now to explore effective strategies for balancing financial sustainability and mission-driven goals. Learn how endowments and foundations can leverage advanced tools to navigate market volatility, optimize investments, and maximize impact in 2025 and beyond.

image

Securing Private Market Investments to Meet Liquidity Obligations: A Guide for Insurance Companies

Download our comprehensive guide today to discover strategic approaches for securing private market investments amidst 2025's financial challenges. Equip your insurance company with the tools to navigate regulatory demands, mitigate risks, and maximize returns in a volatile market environment.

Client Exclusives

Private credit: Spotlight on deals — the winners and losers & bounce back from the crisis

Read more
image

Navigating Private Debt: A Deep Dive into Historical Risk and Returns

Read more
image