In 2017, LAVCA and Cambridge Associates conducted an annual survey of over 150 global institutional investors currently assessing opportunities in Latin American markets.
Findings were presented during LAVCAWeek 2017 by Anouk van der Boor, Managing Director & Private Investments Portfolio Manager for Cambridge Associates, and Ksenija Jovanovic, Director at Zurich Alternative Asset Management, in New York on September 27th.
Highlighted findings, include:
- Interest in growth capital overtakes buyouts as most popular strategy for Latin American PE
- Entry valuations no longer seen as a deterrent for prospective LPs
- Most LPs see the risk/return equation for Latin American PE improving; Argentina sentiment on the rise
Despite a slow down in economic growth in some markets, the survey shows that LPs are still most excited about investing in sectors offering exposure to companies that are directly addressing the region’s growing middle class. Retail and consumer remains the most attractive sector for LPs, while education, healthcare, and financial services are close behind. – Inigo Garcia Gordobil, Investment Director, Private Equity at Cambridge Associates
More than 100 LPs participated in the survey which covers both Latin American and international investors’ views of PE in Latin America.