Meeting return requirements is a significant concern for a number of private equity managers who have lowered their target returns to reflect the high amount of dry powder allocated to the asset class and predictions that there will be a market correction in 2019. 

Should the market enter a downturn however, this should serve the secondary market well by offering opportunities to re-balance portfolios and purchase new assets should discounted shares become available. Meanwhile, managers are perceptively boosting their coverage of high-growth sectors such as technology, fintech and biotech creating increasingly diverse portfolios less exposed to the uncertainty of specific markets.