Hello Community!
Here's an interesting article (free) from FT on perceptions of private equity: The report is also attached. Key points:
- Mixed Views: Some believe private equity engages in ESG practices for good investing, while others see it as harmful to democratic capitalism.
- Economic Influence: The sector manages trillions and constituted about 6.5% of U.S. GDP in 2022.
- Sustainability Efforts: Large firms are increasingly positioning themselves as sustainability leaders, responding to institutional investor demands and recognizing growth opportunities.
- Pragmatic Approach: Leaders argue that aligning business efficiency with sustainability can yield real benefits, rather than just greenwashing.
- Need for Transparency: The industry's private nature raises questions about accountability, and enhancing transparency is crucial for genuine contributions to a sustainable economy.
It will be interesting to know members views on:
- What specific measures could enhance transparency and accountability for private equity firms?
- What types of investments do you believe will become more prominent in private equity to drive sustainable growth?
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Aya Pariy
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