Focus on Private Equity
On 14 January Partner Katia Panichi moderated a panel, comprised of Hedda Pahlson-Moller and Vanessa Camilleri, on what’s driving and trending in PE for 2021. The livestream was organised by Luxembourg for Finance (LFF).
The Covid-19 pandemic might have somewhat slowed global PE deal-making, but the impact has been limited and the outlook for the sector remains bright, especially as equity valuations rise and investors look for longer-term diversification.
Digitalisation transformative investment, automatic sourcing and relative value investing are trends, which are currently transforming the business. Many socially conscious investors are looking for more sustainable portfolios through impact investments. Impact investing is a for-profit investment activity that creates societal and environmental value on top of financial returns. One popular way to do this is by seeking out companies and funds to invest in which employ ESG (Environmental, social, and governance) criteria. Environmental criteria look at a company’s performance from an ecological standpoint. Social criteria look at its value from a human perspective through its relationships with employees, suppliers, customers and communities as well as its diversity and inclusion policies. Governance investigates a company’s leadership, internal controls, and salary structures and shareholder rights. Following these criteria can also help to avoid investments, which through the nature of their business are more at risk to be negatively affected by environmental and societal issues.
Should you be interested in watching the full discussion as well as the other sessions of the event, you can watch a replay on the LFF website.