Private Equity Holding Periods Trending Down
Holding periods for PE-owned portfolio companies correlate with macro-economic events – lengthening during recessionary periods and shortening during growth & recovery years.
The most recent data from www.PrivateEquityInfo.com shows median portfolio holding periods continue their slight downward trend as private equity firms capitalize on higher valuations.
- Current = 5.0 years, (2017 YTD)
- Peak = 5.7 years, (2014)
- Low = 3.0 years, (early 2000’s dot com boom… although it went down to 3.5 years in 2008 as well)