Many limited partners in private equity are grappling with internal resource constraints, particularly around recruiting high-quality talent, at the very time that competition is heating up for access to popular funds.

Why it matters: This is a recipe for under-performing investments.

63% of respondents said the "scale of our resources" is a significant constraint on improving returns, with 58% specifically citing hiring difficulties.

Over half of respondents (55%) say there is more pressure today to commit to a first close than there was just a few years back, with 61% saying they committed to a first close because of increased LP competition.

More survey results:

  • 62% believe too much money is chasing too few deals in North American buyouts. That figure dips to 50% for Europe and just 26% for Asia-Pacific. For venture capital, those numbers go 54%, 23% and 26%.
  • 39% of respondents plan to increase overall allocations to alt assets over the next 12 months. 51% plan to increase allocations to infrastructure and 40% to private credit, while 16% plan to decrease allocations to hedge funds.
  • 39% of European LPs say ESG is an essential component of investment decisions, whereas only 9% of North American LPs say the same.
  • One-third of respondents either have invested in a GP management company, or would consider doing so.

Go deeper

Updated 41 mins ago - Politics & Policy

Voters in Wisconsin, Michigan urged to return absentee ballots to drop boxes

Signs for Joe Biden are seen outside a home in Coon Valle, Wisconsin, on Oct. 3. Photo by KEREM YUCEL via Getty

Wisconsin Democrats and the Democratic attorney general of Michigan are urging voters to return absentee ballots to election clerks’ offices or drop boxes, warning that the USPS may not be able to deliver ballots by the Election Day deadline.

Driving the news: The Supreme Court rejected an effort by Wisconsin Democrats and civil rights groups to extend the state's deadline for counting absentee ballots to six days after Election Day, as long as they were postmarked by Nov. 3. In Michigan, absentee ballots must also be received by 8 p.m. on Election Day in order to be counted.

49 mins ago - Technology

Facebook warns of "perception hacks" undermining trust in democracy

Photo Illustration: Sarah Grillo/Axios. Photo by Jamie Squire/Getty Images

Facebook warned Tuesday that bad actors are increasingly taking to social media to create the false perception that they’ve pulled off major hacks of electoral systems or have otherwise seriously disrupted elections.

Why it matters: "Perception hacking," as Facebook calls it, can have dire consequences on people's faith in democracy, sowing distrust, division and confusion among the voters it targets.

Obama: Trump is "jealous of COVID's media coverage"

Former President Barack Obama launched a blistering attack on President Trump while campaigning for Joe Biden in Orlando on Tuesday, criticizing Trump for complaining about the pandemic as cases soar and joking that he's "jealous of COVID's media coverage."

Driving the news: Trump has baselessly accused the news media of only focusing on covering the coronavirus pandemic — which has killed over 226,000 Americans so far and is surging across the country once again — as a way to deter people from voting on Election Day and distract from other issues.

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