Private Equity New Influences

In the coming couple of years there is going to be more transparent allocation of the fee structure, the cost of assets and allocation of funds. There has been a regulatory pressure over the Private Equity Firms in India to manage their funds and keep a good draft for it because a lot of money is moved around in the market and sometimes backtracking them becomes almost impossible. This is one of the issues which is about to  become a regulatory law in the next couple of years.

There has been constant request of information from the equity firms and this has been a long time conundrum for them as well. It requires a big data infrastructure for the companies. Building a set up to manage data does not seem like the most important issue for this big industry but has become important now as it is the demand of time now.   

The opportunity for growth

There is going to  be even more product innovation. The PE firms have been managing the funds very uniformly, provided greater flexibility on their fee structure, managed various accounts simultaneously; however, they are trying to be more cooperative with  the needs of their clients. The traditional equity structure may observe a few changes as there is a demand for alternative processes now.   

Changes in Usual business

There is going to be a high competition among the firms to raise capital. Real estate funds may play an important role in the competition . It  will highly rely on the funding of high stakes and how they are going to bring profit or loss to the industry. The next couple of years are going to be more pronounced as there has been an observation for high value funding and returns in the market.