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  "documentTitle": "Global Private Equity Report 2016",
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  "notes": "The slide includes a callout box regarding China's economic transition and a detailed narrative on global exit trends.",
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      "text": "Private equity foreshadows China in transition (continued)\n\nfuture-oriented investments, finding opportunities in China's next-generation “Made in China 2025” manufacturing sector, profiting from Chinese consumers' increasing wealth and leading the convergence of online and offline sales channels—all while steering clear of bubble risks. They will shift their investment theses from the pursuit of growth to a focus on business renewal and performance improvement. They will hone a differentiated strategy, moving away from a broad sector focus and emphasizing, instead, strong due diligence and portfolio management skills. And they will invest in building their firms' organizations and capabilities to support their adjustment to China's unprecedented economic transformation.",
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      "text": "Buyout-backed exit value: $422 billion",
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      "text": "Robust exit channels over the past three years provided the opening GPs were looking for to sell. Of the exits completed in 2013, 87% were assets purchased in 2010 or earlier. In 2014, 76% of exits were assets belonging to those older vintages. Last year, the backlog of older holdings made up just 57% of exits. In fact, sales of holdings acquired since 2011 nearly equaled those purchased during the peak years of the previous PE cycle for the first time (see Figure 1.20).",
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      "text": "The stars remained aligned in 2015, making it another strong year on the PE exit front. Investors' risk appetite was keen. Corporate profit margins to support M&A activity were robust. Asset valuations were near all-time highs. GPs wanting to liquidate portfolio holdings found buyers eager to oblige.",
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      "text": "The aggregate value of buyout-backed exits came in slightly below the record $456 billion posted in 2014. But with $422 billion in realizations and 1,166 deals reported at year-end, asset sales were just shy of their all-time peak (see Figure 1.19). In Asia-Pacific, a region that continues to rely more and more on growth investments and private investments in public equities, sellers took in nearly $51 billion on buyout-backed deals—a record. Overall, exits in the Asia-Pacific region came in at $85 billion, in line with the region's performance over the past five years. Even in Europe, beset by sovereign debt and currency woes, GPs pulled in $143 billion in asset sales—an amount surpassed only twice over the past 20 years, in 2014 and in 2007, the peak of the last PE cycle.",
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      "text": "Underlying 2015's impressive exit totals were several notable signs of health. Many GPs took advantage of favorable exit conditions to complete the years-long process of selling off their large inventories of unrealized assets acquired before the global financial crisis. Purchased at peak prices before 2008 and sharply devalued following the market meltdown, these holdings sat in their fund portfolios as GPs patiently rehabilitated them and waited out the recovery.",
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      "text": "As GPs cleared out their inventory of older assets, they reduced the median holding period for the properties they own—from a peak of 5.8 years in 2014 to 4.9 years in 2015—for the first time since 2007. An uptick in the number of",
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