After the hiatus of the credit crunch, when private equity (PE) investors were rudely reminded that illiquidity can magnify downside risks, PE is now back in favor, with fundraising at record levels. According to the Towers Watson/Financial Times Global Alternatives Survey 2015, PE assets are catching up with real estate for second place when comparing the assets under management (AUM) of the top 100 alternative asset managers. Abundant capital and cheap finance means deals are now richly priced in both the United States and Europe as pension funds recover their taste for PE. Yet the survey notes the continued evolution of...