
The Private Equity Debate Revisited
Capitalisn't
00:00
The Risks of Private Equity Funds in a Zero Interest Rate Environment
There are a lot of firms that don't have a lot of value, perhaps in a leveraged buyout portfolio, you're looking at 20% or 25% of the companies default. In 2016, 2017, two-thirds of the retailers that filed for bankruptcy were private equity buyouts. 10 out of the 14 largest retail chain bankruptcy since 2012 were private equity acquired chains. More than half of the companies that defaulted in the second quarter were owned by private equity firms.
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