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  "documentTitle": "Global Private Equity Report 2016",
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      "text": "than one-third of LPs surveyed in 2014 anticipated that PE would outperform the public market benchmark by more than 4 percentage points. By mid-2015, nearly one-half of LP respondents held that view.",
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      "text": "LPs' returns expectations for PE portfolios",
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      "text": "LPs' perception of PE investment performance relative to expectations",
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      "text": "With renewed confidence in PE returns comes a heightened awareness of PE's cyclicality and a magnified sensitivity to the economy's vicissitudes. As healthy as PE returns were over the past three years, those vulnerabilities and the simple fact that the PE industry has matured should temper investors' expectations that returns will remain as strong as they have been. With GPs now paying premium prices for assets and the chance of recession looming on the horizon, the risk remains that PE investors will see future waves of downward revaluations and a convergence of PE and public market returns.",
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      "text": "Future returns will depend, of course, on the severity of the cyclical market and economic shifts. But they will also depend on the skills and foresight of GPs to manage their portfolios proactively in order to withstand future turmoil. Every crest of every wave in the PE cycle is an opportunity for GPs to demonstrate their ability to outperform. GPs have embedded many lessons they learned from the past downturn into their new investment discipline. They are exercising caution when paying high multiples for acquisitions and taking care in their use of debt, which can just as easily eat into returns as enhance them. For now and over the next year or two, GPs and LPs should continue to enjoy the fruits of that dearly acquired wisdom. But as we will see in Sections 2 and 3 of this report, prudence dictates that even in a time of newfound confidence, success will come only to those who are ready for adversity.",
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      "text": "than one-third of LPs surveyed in 2014 anticipated that PE would outperform the public market benchmark by more than 4 percentage points. By mid-2015, nearly one-half of LP respondents held that view.",
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      "text": "Figure 1.30: LPs' satisfaction with and expectations for PE returns improved markedly",
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