Retail investors in private equity are aware that economic challenges lay in the near future. However, they remain bullish on the asset class and even consider increasing their allocations.

This is one of the key findings of the annual Moonfare Investor Survey, conducted in September 2022. With the survey, we wanted to better understand how the investors feel about the state of private equity, given the current economic volatility and overall uncertainty. We are grateful to the 244 members of our community who offered us their views and observations. 

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Key highlights include: 
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• Many investors have dwindling confidence in the economic outlook: 73 percent of survey respondents say they feel “somewhat bad” about the current state of the economy. 
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• ‍Investors are doubling down on private equity, despite the macro headwinds: 83 percent are considering making new allocations to the asset class in the next 12 months. 
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• ‍Buyout funds are seen as the best bets, while defensive strategies gain traction: 56 percent of respondents expect buyouts to generate the best returns in the short term.
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• ‍The door to private equity is open, but barriers still exist: When asked about what prevents them from making higher allocations to private equity, 48 percent ranked illiquidity as one of the biggest hurdles, followed by fees (41 percent).
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‍Important notice: This content is for informational purposes only. Moonfare does not provide investment advice. You should not construe any information or other material provided as legal, tax, investment, financial, or other advice. If you are unsure about anything, you should seek financial advice from an authorised advisor. Past performance is not a reliable guide to future returns. Don’t invest unless you’re prepared to lose all the money you invest. Private equity is a high-risk investment and you are unlikely to be protected if something goes wrong. Subject to eligibility. Please see https://www.moonfare.com/disclaimers.