Secondaries gain ground as an exit route for private equity

The private equity sector has been grappling with a persistent liquidity problem for several years. Due to a slower M&A market, higher interest rates, and a sluggish IPO market, portfolio companies are being held for longer periods and investors are receiving fewer capital distributions. According to Jérôme Marie, director at Oddo BHF Private Equity, this immediately explains why secondaries are experiencing such strong growth within private equity today.