Assignment 2

The Systemic Financial Crisis of 2008 and the Private Equity Sector

Introduction

Global financial crisis of 2008 to 2009 also known as credit crisis has resulted in huge stress in the private equity business. During these crises, private equity transaction sharply declined and also the ease along with the financing structure dealing also changed in fundamental ways.

Discussion

Before financial crisis of 2008 to 2009, the performance of equity market was outstanding and year of 1987 was termed as MVP. In 1978, investments in venture capital was skyrocketing i.e. in 1977 the value of investment was $39 Million while it went to $570 ...