The Impact of Private Equity on Prices

The demise of private equity backed even over levered businesses in the downturn was wildly overstated. The firms went of holding the investment much longer, which obviously decreased the IRR. But as things started to come back and the businesses generally improved, you're able to work the balance sheets out. It's also given some investors comfort that when things go really bad, the fact you don't have to sell is important.