raisingcapital

Trying to time the market for a fundraising round is a tempting strategy for many companies looking to maximize their valuation and attract suitable investors. It is incredibly difficult to predict market trends with any degree of accuracy.

There were 45% fewer private equity fund closings in 2022 vs 2021, according to data from S&P Global. Alongside record inflation and rising interest rates, a less quoted reason for this decrease is the Denominator Effect.