The Economy: Recovery is a “Process, not an Event”
I had the pleasure of sitting in on a middle market private equity company’s annual meeting recently in Chicago. It’s always interesting to get different perspectives and predictions on the state of the economy and the timeframe of its recovery… as well as how that recovery will actually happen.
A private equity investor with a 30+ year tenure in the industry finds the following:
• PATIENCE: We must be patient – this is a process, not an event.
• LOW GROWTH: for the next three to five years we will be in an “L” recovery (versus U or V) and experience low growth.
• SAVINGS: We must change the way we look at our assets and how we both spend and invest our money. For Americans, homes were once our primary asset, but now we need to become savings driven, not real estate driven.
• THINK LOCAL: Recovery will begin at the local level with small business and grow outward from there. Innovation is key to helping move this recovery along.