Test of strength: exit performance of China portfolio comes under testp

It was a bleak first quarter for China investors. The Shanghai Composite Index has lost more than 34% of its value during the first three months of the year, its worst slump in 15 years. During the same period, Hong Kong’s Hang Seng Index also recorded a drastic slide by 17.85%. With initial public offerings and sales of shares on the public market (‘public offering route’) being the principal source of realised capital for private equity investors, the prevailing stock market condition has an immediate impact on exit performance of China portfolios, according to Asia Private Equity Review (APER).