Promise and Peril in the Age of Turbulence in Emerging Markets: Implications for Private Equity Investors

Abstract

While the death of globalization has been greatly exaggerated, the past will hardly be prologue for private equity investors desiring participating in the emerging markets. As a new decade begins, it is not “business as usual” due to the rise of global populism and protectionism. As a result, the risks and rewards of the emerging markets for private equity investors have shifted. Private investors will have to think more regionally and granularly than globally in the years ahead, and be more differentiating in terms of country and sector exposure. That said, the emerging markets represent both promise and peril for private equity investors.