Founding Partner of The Carlyle Group Looks at Private Equity Today
Founding Partner of The Carlyle Group Looks at Private Equity Today
A big sign of concern is the fall of pricing of major financial companies, who are going to the Middle East, Asia, and other regions to raise billions of dollars in capital, he said. “A bubble has burst,” Conway said. “The world has changed and people are far too complacent about what has happened and what is likely to happen.” No matter what happens, the fundamental principles will remain the same in private equity, he said. Conway has guided Carlyle successfully with 10 rules focusing on the obvious and worrying less about subtleties...
1- Develop an independent idea of what a business or asset is worth and constantly reassess the valuation.
...
5 - Price does not matter if the deal is good. “The single most important thing about our business is that 90 to 95 percent of the return comes from the deals you do and the deals you don’t do,” he said. “It’s not the price you pay.”
6- Get help. “The best people want the most help,” Conway said. “The weakest people want the least help.”
...
9 - Make sure managers concentrate on the few vital objectives, not everything.
10 - If management is not working out, change it – sooner rather than later.
...
A big sign of concern is the fall of pricing of major financial companies, who are going to the Middle East, Asia, and other regions to raise billions of dollars in capital, he said. “A bubble has burst,” Conway said. “The world has changed and people are far too complacent about what has happened and what is likely to happen.” No matter what happens, the fundamental principles will remain the same in private equity, he said. Conway has guided Carlyle successfully with 10 rules focusing on the obvious and worrying less about subtleties...
1- Develop an independent idea of what a business or asset is worth and constantly reassess the valuation.
...
5 - Price does not matter if the deal is good. “The single most important thing about our business is that 90 to 95 percent of the return comes from the deals you do and the deals you don’t do,” he said. “It’s not the price you pay.”
6- Get help. “The best people want the most help,” Conway said. “The weakest people want the least help.”
...
9 - Make sure managers concentrate on the few vital objectives, not everything.
10 - If management is not working out, change it – sooner rather than later.
...
Labels: Carlyle Group, management, Private Equity, William Conway Jr
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