Global LPs are going to significantly increase their private equity investments in the Middle East over the next three years - according to a survey by Coller Capital, the global investor in private equity secondaries.
Although not still significant in terms of amount, in terms of exposure the increase is going to be very significant: for Asia-Pacific LPs, exposure to the Middle East is going to increase from 10% to 48%, for American LPs from %3 to 32%, and for the European LPs from virtually zero to 21%.
And what do you think is the top reason for global investors being shy to invest in the Middle East PE? Geopolitical risk? Nope. Unfavorable regulatory environment? Nope. Lack of quality assets? Nope. “Too few credible GPs” is the top reason shared by 95% of LP respondents. (Our directory has listing of private equity firms in the Middle East)
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