Seventy-four percent of limited partners expect to increase commitments to emerging markets private equity funds over the next three to five years, according to an Emerging Markets Private Equity Association survey. Net returns for such private equity funds from 2008 commitments are expected to be 23%, similar to expectations in the 2007 survey. Survey respondents cited the promise of superior risk-adjusted returns as the most important reason for increasing commitments; diversification was the most important reason given in last years survey. Eighty-nine percent expect to invest in Asia within three to five years; 75% plan to invest in Central and Eastern Europe.
The survey was conducted from February through April 2008. There were 81 respondents.