Today, the state of the economy, add-on acquisitions, and industry diversity are just a few issues at the forefront of the private equity industry. In this podcast episode, Gretchen Perkins of Huron Capital and Silver Leaf Partners' Kathleen Lauster join BDO's Todd Kinney to discuss these topics and more. Additionally, BDO's Karen Baum discusses the benefits of sell-side due diligence and the evolution of socially responsible investing.Tune into the full episode for a range of insights, including:
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President Trump’s renewed interest in raising tariffs on Chinese imports from 10% to 25% has set off a round of retaliation from China who will strike with its own tariff hikes on U.S. imports. It now appears that a negotiated deal acceptable to both parties is unlikely to be reached in the near term. What are the implications for investors of a prolonged trade war with China, and by extension, with other countries that rely on trade with the United States?
A historic agreement was reached in 2015 when member states of the United Nations came together and signed “Transforming Our World: The 2030 Agenda for Sustainable Development,” which included a set of 17 Sustainable Development Goals (SDGs). The SDGs charted a way forward to a just, secure, and sustainable future for people and the planet.
A board chair is perhaps the most important and meaningful job in any family foundation. If you are currently chair—or anticipate that you will be someday—you may find it’s one of the most rewarding roles you will ever have. It’s also a role of great nuance, calling for keen facilitation, leadership, and a healthy dose of self-awareness. Beyond your roles and responsibilities as board chair, there are certain qualities that can make for a more successful and enjoyable experience.
As private equity firms make their operations, and those of the companies they invest in, more technologically savvy, they're finding that true digital transformation requires a shift in mindset.
Many institutional investors have shed their skepticism and are dipping their toes into the crypto market, adding exposure through crypto funds, futures, and other emerging investment options. However, the world of crypto investing is still relatively uncharted territory. It is important to understand what cryptocurrencies are before investing or accounting for them. Organizations that take a step-by-step approach to due diligence and gain experience with small, low-risk projects involving cryptocurrencies may find they present exciting, new opportunities.
Most private equity professionals agree that a bear market correction, which is typically defined as a 20 percent decline in the broader stock market, is in sight. What no one can predict is the next recession’s duration and severity.
Eighty-nine percent of private equity executives expect a correction within 1-2 years, according to BDO's 2019 Private Equity Perspective Survey. Yet private equity funds have a lot of dry powder to deploy. How are expectations for a correction affecting deal composition and timing?
Direct investments for wealthy individuals and family offices can be challenging when competing with the experience, intellectual capital, and the deep network of relationships forged by a private equity firm. The good news is that the thoughtful structuring and the focused implementation of direct investment programs can help in setting private clients up for success.
The role of the tax function is changing. Digitization is shrinking the globe and making everything more connected. Tax regulation and legislative changes are requiring companies to have processes and systems in place in order to comply. Today’s tax professional is charged with advising senior management on the tax implications of strategic business decisions while simultaneously leading initiatives to directly support the organization’s financial objectives and help facilitate growth. Demands on tax professionals have never been higher.