Prof. Braun conducted a study with AT Kearney on the future of the Private Equity Industry. The study was recently featured in the German Handelsblatt, interviewing both, Prof. Braun and Prof. Achleitner. Prof. Braun show three main challenges for the industry in upcoming years:
1) The high amounts of currently available capital result in univested "dry powder" and drive valuations.
2) The number of "secondaries" (selling companies to the next financial investor) increases, making further improvements in the companies and thus high returns difficult, as first investors already performed most improvements.
3) The increasing number in minority shareholdings make company restructurings more difficult than in majority stake investments.
The article (in German) can be found here.