The Tribune

A Bahamian accountant believes this nation’s financial services sector can benefit from forecast growth and capital raising in the global private equity industry, with the SMART fund product helping to “gain traction”.

Speaking after an Ernst & Young survey revealed that 75 per cent of private equity chief financial officers expect to raise another fund of equal or greater value within the next three years, Tiffany Norris-Pilcher, a partner in the firm’s Bahamian operations, said: “The Bahamas market is poised for growth in the private equity sector, and will benefit from some of the growth trends identified in our Ernst & Young survey.

“As an international jurisdiction that can service companies looking to make offerings or create sophisticated structures to house private equity deals, the potential in the Bahamas market is strong. With the SMART fund product, the Bahamas should continue to gain traction in private equity deals.”

Regulation and compliance are the most pressing challenges for 45 per cent of private equity chief financial officers, with 80 per cent expecting to hire fewer professionals this year.

The survey documents the views, insights and observations of 105 private equity fund chief financial officers and finance executives from Asia, Europe and North America among all different asset classes, and was conducted between August and November 2013.

Jeff Bunder, Ernst & Young’s global private equity leader, said: “CFOs believe the industry will continue to grow and, five years out, private equity’s that have withstood the financial crisis will continue to flourish.

“With 80 per cent of firms surveyed having raised capital in the last four years, CFOs are bullish about future investment opportunities. They are also looking to raise additional capital in the next few years.”

“We were encouraged to learn that most CFOs feel that the most difficult times are behind them,” said Arleen Buckley, director of US Conferences at PEI. “And that while uncertainties loom with respect to regulation and compliance across various jurisdictions, CFOs feel they have the knowledge and power to be an effective partner in the stewardship of their firms.”