Flight to quality in Asian private equity industry gains momentum

The flight to quality in the Asian private equity industry that began several years ago has gained momentum, challenging GPs to rise to a new level of performance.

That was the view of an Ogier panel event this week which discussed pressure points affecting the Asian private equity industry. Co-hosted with DMS at the Hong Kong Club during the week of SuperReturn Asia, the panel shared insights on topical issues facing boards of GPs in the region.  

Kate Hodson, a partner in Ogier's investment funds practice moderated the panel of Henry Ching, Asia head of Mercer’s Real Estate Boutique, Elvin Lim, who co-founded Starcrest Capital Partners, Don W. Ebanks, Managing Director of DMS and Oliver Payne, a partner of Ogier's Dispute Resolution practice.

Kate Hodson said: "The composition of the panel meant that we had the benefit of hearing the GP/LP/ independent director as well as the legal perspective across a broad range of topics."

The panel considered what LPs are looking for from PE funds when making allocations, as well as how Asian based managers are best establishing themselves to weather the challenges against the backdrop of increased regulatory scrutiny, compliance concerns, as well market headwinds.  

The panel considered topics including:

• the infrastructure of Asian PE funds
• the involvement of LPs
• corporate governance
• fee structures
• co-investments
• exits and insolvency concerns