Matt Farrell in Reuters: Private Equity Deal Volumes Fall to 4-Year Low
June 28, 2023
Pressure from high interest rates, recession fears and a weak outlook for corporate earnings has caused private equity deal volumes to fall to a four-year low. This, in turn, has created a vast amount of financing complications for private companies and start-ups, as they typically relied on funding from private equity firms, especially when banks also slow down corporate lending.
To help family offices better understand how this dealmaking low could impact their portfolios, Reuters turned to Matt Farrell, CAIA, senior investment manager at WE Family Offices, for insight.
“The implication for companies seeking private equity funding is simply less capital to go around, which could cause the weaker companies with short cash runways to be unable to continue operations,” Farrell tells the publication.
Click here to read the entire Reuters article. If you are interested more about the private equity space, learn more about its bright spots and warning signals by listening to this episode of The Wealth Enterprise Briefing podcast.