Through its commitment to innovation, improving businesses and long-term growth, private equity plays a critical role in unlocking the full potential of European entrepreneurs. In doing so, it delivers many benefits for the European economy.
Private equity can help businesses to thrive in periods of strong economic growth. It can also help them to survive in downturns, protecting jobs and giving a long-term future to companies through investment and a focus on competitiveness.
To remain a positive catalyst for companies and the economy, private equity needs a balanced and well-calibrated regulatory framework that provides a stable and supportive climate for converting entrepreneurial opportunity into business reality.
The upcoming review of the Alternative Investment Fund Managers Directive (AIFMD) provides an opportunity to refine existing rules, while taking into account the specific characteristics of private equity. Proper consideration should be given to consistency, proportionality and better tailoring of the Directive's requirements to ensure that private equity firms operate in an environment that allows them to support Europe's businesses and to generate returns for their investors, such as European pension funds.
The review of the European Venture Capital Fund (EuVECA) Regulation is an opportunity to make the regime even more attractive and accessible to a larger number of small and medium-sized funds, for instance by turning it into a voluntary EU venture and growth capital label. It will be important to ensure that the framework remains proportionate and successfully complements the AIFMD marketing passport.
Smaller fund managers are rightly exempted from the full requirements of the AIFMD, given the disproportionate burden it would place on them. While this is welcome, it also means that many small EU managers have fewer options to raise funds across borders. Further enhancing cross-border marketability by addressing remaining barriers within the EU is key, and could allow smaller fund managers to unleash their full potential in support of European businesses.
A well-calibrated tax policy plays an important role in providing a favourable environment for businesses to flourish. One way to encourage further investment is by supporting companies to fund their activities through equity. This could be achieved through an allowance for equity issuance, making equity funding more appealing for Europe’s enterprises. Furthermore, such a measure would also help to address concerns over levels of debt on company balance sheets.
Through InvestEU and VentureEU, the EU should continue to provide smart support to venture capital and growth funds. Attention should be paid to the regulatory treatment of start-ups and scale-ups backed by venture capital in order to ensure that they continue to benefit from the same advantages as other SMEs.
Accelerating the expansion of a leading Pan-European omni-channel lingerie brand.25 Oct 2017
Growing a global travel search business10 Mar 2016
Transforming a European swimwear champion into a global leader10 Aug 2014
Building a global payments business from a former bank division30 May 2014
A successful turnaround of an iconic brand to reach new heights in terms of profitability, market share and employment28 Jun 2012
Read more about the private equity industry's key policy priorities for 2019 to 2024 in our Manifesto.
The EU Alternative Investment Fund Managers Directive (AIFMD or Directive 2011/61/EU) regulates the management and marketing of alternative investment funds (AIF) in the European Economic Area.
The European Venture Capital Fund (EuVECA) Regulation allows venture capitalists to market their funds to investors across the EU through a voluntary EU-wide passport without having to meet all of the demands of the AIFM Directive.
The idea of a Financial Transaction Tax (FTT) has gained traction in recent years, as policymakers looked for ways to recover the costs of the financial crisis from the sector it deemed responsible, and looked to use the tax system to create incentives.
Public Affairs Director
Senior Public Affairs Manager
Public Affairs Officer
Sofia Garrido Perez
Public Affairs Officer
Public Affairs Manager
Most PCs automatically accept them but you can change your browser settings to restrict, block or delete cookies if you want. Each browser is different, so check the 'Help' menu of your particular browser (or your mobile phone's handset manual) to learn how to change your cookie preferences. Many browsers have universal privacy settings for you to choose from.
Cookie settings in most versions of Internet Explorer can be found by clicking the tools option and then the privacy tab.
Cookie settings in Firefox are managed in the Options window's Privacy panel. See Options window - Privacy Panel for information on these settings.
Click on the spanner icon on the toolbar, select settings, click the under the bonnet tab, click on content settings in the privacy section.
You can manage cookies in Opera if you Click on settings, then Preferences, then Advanced and finally Cookies
Choose Safari, then preferences and then click security. You should then be able to specify if and when Safari should accept cookies.
To manage cookies on your mobile phone please consult your manual or handbook.
If you decline cookies, some aspects of Invest Europe site may not work on your computer or mobile phone and you may not be able to access areas you want on the website. For this reason we recommend that you accept cookies.
If you delete all your cookies you will have to update your preferences with us again and some aspects of our site may not work.
If you use a different device, computer profile or browser you will have to tell us your preferences again.
If you'd like to learn more about cookies in general and how to manage them, visit aboutcookies.org.
We can't be responsible for the content of external websites.Opt-out of cookies