Fundraising has slowed for Asian private equity (PE) to US$20 billion so far in 2016 from US$80 billion a year earlier, although capital calls of new funds already committed are looking strong. 

Asia’s contribution as a percentage of the contributions globally, has risen to above 12% and approaching record levels in 2016, according to data presented by Hamilton Lane, an independent alternative investment management firm.

Effectively on the capital that is being called, the size of the Asia private equity opportunity as a percentage of the global contributions is quite high despite a slowdown in the fundraising.

“If you compare that contribution pace as a percentage of the unfunded (PE projects) it is a little below but relatively close to long run historical averages,” says Juan Delgado-Moreira, head of international at Hamilton Lane.

In terms of distribution (or the proceeds/earnings of PE projects that distributed to the partners when they exit the project), 2016 has been a decent year although it’s not as high as in 2015.

“To really see that in a historical context, the level of all private equity distributions in Asia is quite close, slightly below historical average, but very close to all private equity percentage of distribution relative to the net asset value,” Delgado-Moreira says.