Today McKinsey's Private Equity Practice in Greater China published a new report: "In search of alpha: Updating the playbook for private equity in China." China is the third largest private equity market in the world: in 2019, private equity and venture capital funds deployed $66 billion of their funds in China, compared to $71 billion in the United Kingdom and $471 billion in the United States. From 2009 through 2019, fundraising for PE firms operating in China grew at a compounded annual rate of 29 percent, the strongest growth among all major asset classes. Historically, funds have been buoyed by China’s impressive macroeconomic growth - but this now begun to steadily fall. To achieve desired returns, PE firms will have little choice but to switch their focus from ‘beta’ (performing in line with the market) to ‘alpha’ (market-beating returns). Our website features video interviews with 3 leading private equity dealmakers: KC Kung, Founder of Nexus Point; Jean Salata, Founder of Baring Private Equity Asia; and Frank Su, Head of PE Asia for CPP Investments. #China #economy #privateequity …see more