Search the site

History Shows Interest Rates Alone Have Marginal Impact on Buyout Activity

History Shows Interest Rates Alone Have Marginal Impact on Buyout Activity

The Federal Reserve is expected to cut interest rates by 0.25 in September 2024.

Interest rates are often cited as having a major impact on M&A activity, and it makes sense that private equity buyouts would be correlated with borrowing costs. However, statistical analysis shows that interest rates alone likely have little impact on private equity dealmaking (at least, in the US), according to research by Value Add.

This post is for paying subscribers only

Subscribe
Already have an account? Log in