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  "documentTitle": "Global Private Equity Report 2015",
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  "notes": "The slide is a text-heavy page from a Bain report, focusing on European macro-economic risks.",
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      "text": "New macro risks challenge Europe's PE investors",
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      "text": "Beyond the near-term economic indicators, Bain & Company's Macro Trends Group sees powerful structural tensions that threaten to pull the eurozone apart in the not-too-distant future.",
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      "text": "With the recent Greek elections once again throwing open the heated debate between austerity and growth, however, it would be a mistake for Europe-focused PE firms to confuse a respite with a recovery. As 2015 began, the European Central Bank (ECB) launched a €1.1 trillion quantitative easing program in an urgent bid to reignite growth. But banks' business lending remains weak amid gathering signs of a recession in the major European economies. Beyond the near-term economic indicators, Bain & Company's Macro Trends Group sees powerful structural tensions that threaten to the eurozone apart in the not-too-distant future. Differences in the age structure of eurozone member states' populations—in particular, in the size of the cohort between the ages of 45 and 60—are an important but too-little-appreciated source of Europe's unresolved problems.",
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      "text": "The number of these thrifty and highly productive mature households, which are past their biggest consumption years, is currently near its peak in Germany, where their frugal spending patterns risk aggravating deflationary pressures. As Europe's leading exporter, however, Germany has been able to ship goods and capital to its younger, more consumption-oriented neighbors on the eurozone periphery, boosting its GDP and keeping a floor under prices—all without having to worry about exchange rate adjustments to the common currency. The consequences for Germany's eurozone trading partners have been profound: Inflation has heated up and their economic competitiveness has eroded—conditions exacerbated by the ECB's loose monetary policies.",
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      "text": "fact, millennials are becoming suburbanites, after all, having simply delayed their move due to the recession. Probing deeper in order to separate insight from conventional wisdom and to understand second- and third-order consequences of a macro theme can unveil investment opportunities the market may not have, as yet, fully priced.",
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      "text": "With the prospects for most buyouts balanced on a razor's edge between a target company's high valuation and a precise calculation of its return potential in any economic climate, fortune will favor only the well prepared. Top-performing PE firms understand that the ultimate returns they achieve will reflect the \"quality of the buy\"—how well they size up the potential of the assets they acquire during sourcing and due diligence and how much they ultimately pay.",
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      "text": "Following years of persistent near-zero GDP growth and a steady drumbeat of bad news from the eurozone, European PE investors could breathe a sigh of relief in 2014. The financial turmoil that threatened to undermine the euro and plunge the continent's weaker economies into deep recessions had abated. Yield spreads on euro-denominated sovereign debt had stabilized and, apart from Greece, the air of crisis hanging over the smaller eurozone periphery economies had begun to lift.",
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      "text": "Once GPs have honed the investment themes they will pursue and confirmed that they are aligned with the core elements of their fund's investment sweet spot—such as the size of the equity commitment they are prepared to make, their geographic preferences and the degree of control they will exercise—they develop a list of potential targets and a plan to approach them.",
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