This paper analyzes the impact of performance, iestment-firm-related, and macroeconomic variables on fundraising activities in private equity (PE). We use a novel, backward-looking approach to link current to preceding funds, which allows for including several parallel predecessor funds in our analysis. We employ logit and tobit models to a global sample of 1463 fundraising events observed between 2000 and 2010 in order to estimate the probability of raising and the volume of follow-on funds. Our results show that the average buyout duration of past transactions has a negative impact, whereas exits via an initial public offering (IPO) and deals without industry-style drift positively affect fundraising activities. Larger, industry-diversified, and independent PE firms exhibit a higher likelihood of fundraising and collect larger amounts. Keywords: Fundraising, follow-on fund, private equity, leveraged buyout

We study the impact of PE firm and buyout characteristics on default probability employing a Cox proportional hazards model to a global sample of 5,093 buyouts between 1997 and 2012. Our results indicate that iestments of generalists have lower default probability than those of specialists. However, industry specialization reduces default probability if stated focus and target industry match. Iestments of captive PE firms and secondary buyouts are more likely to default, while the opposite holds true for syndicated iestments. In sum, our findings indicate that increasing heterogeneity within a maturing PE market goes along with increasing heterogeneity in default probabilities.