PE Portfolio Company Holding Periods – Updated
I periodically update the private equity portfolio company holding periods study to track this trend over time. In both March and August 2018, I reported a slight downward trend in portfolio company holding durations. That trend continues with this update, although more steeply downward.
Now accounting for all 2018 exits tracked, the holding period has continued to decline. For 2018 exits, the median holding periods is 4.7 years, down from 5.0 years for 2017 exits.
The chart below shows the median holding period for the portfolio company exits each year.