1. Home
  2. Industries
  3. Financial Services

Financial Sponsors

Mercer Capital provides business valuation and advisory services to private equity firms, family offices, and other financial sponsors

Mercer Capital provides independent valuation and related advisory services to financial sponsors, including private equity firms, family offices, and other investment groups. Mercer Capital provides services related to transactions, portfolio monitoring, strategic planning, financial reporting, and dispute-related matters across a wide range of industries and investment structures.

Our professionals have experience valuing sponsor-backed companies, investment interests, and complex capital structures. We deliver objective, well-supported analyses that reflect deal economics, risk considerations, and market conditions, supporting informed decision-making and meeting the expectations of investors, auditors, and other stakeholders.

What We Do

Services Overview

  • Fairness Opinions

  • Solvency Opinions

  • Buy-Sell Agreement Valuations

  • Portfolio Valuation Services

  • Purchase Price Allocation

  • Impairment Testing

  • Equity-Based Compensation Valuation (409A)

  • Shareholder Surveys & Education

  • Dividend & Redemption Policies

  • Capital Structure & Capital Budgeting

  • Performance Measurement & Benchmarking

Key Contacts

Jeff K. Davis headshot
Jeff K. Davis

Managing Director

Travis W. Harms headshot
Travis W. Harms

President

Thomas C. Insalaco headshot
Thomas C. Insalaco

Senior Vice President

Sujan Rajbhandary headshot
Sujan Rajbhandary

Senior Vice President

Quarterly Insights

Portfolio Valuation Newsletter

Portfolio Valuation: Private Equity and Credit newsletter provides a clear, data-driven overview of conditions and trends across the private equity and credit markets, including insights into publicly traded private credit and venture capital. Each issue also features an in-depth article examining timely portfolio valuation topics relevant to financial sponsors.

See Previous Issues

Insights

Thought leadership that informs better decisions — articles,  whitepapers, research, webinars, and more from the Mercer Capital team.

See All Firm Insights
5 Things to Know About Selling Your Business to Private Equity
5 Things to Know About Selling Your Business to Private Equity
We recently read a fantastic post on the Altair Advisers' blog, "Words on Wealth," by Jason M. Laurie, Managing Director and Chief Investment Officer. The post addresses five things that founders wish someone had told them before selling their businesses to private equity firms. We thank Jason for allowing us to share the post with our readers.
Private Equity’s Growing Influence on RIA Dealmaking and Valuation Multiples
Private Equity’s Growing Influence on RIA Dealmaking and Valuation Multiples
Examining the trends fueling PE’s dominance, the valuation multiples shaping transactions, and strategic considerations for RIA owners navigating this transformative landscape
Private Equity and Family Business
Private Equity and Family Business

A Complicated Relationship

If private equity and family business had a relationship status on social media, it would undoubtedly be “It’s Complicated.”
Private Equity Marks Trends Fall 2025
Portfolio Valuation: Private Equity and Credit

Fall 2025

The recent Paramount-Rith Capital transaction highlights a growing challenge in private markets—valuations that fail to reflect market reality. As continuation funds become more common, conflicts arise when general partners act as both buyer and seller. Independent fairness opinions have become essential, ensuring transparency, validating valuations, and reinforcing fiduciary duties. In an environment of deep NAV discounts, these opinions are not formalities—they are vital checks that uphold integrity and trust in private market governance.
Private Equity Marks Trends Fall 2024
Portfolio Valuation: Private Equity and Credit

Fall 2024

Perhaps it is back to an alternate future as the Dodgers defeated the Yankees in the World Series after losing to the Yankees in 1977, 1978, and 1996. The market tenor feels like 1996 rather than the high-rate, low P/E multiple markets of the stagflation 1970s. Markets offered a few curveballs and fastballs this fall that should be supportive of PE funds to pick-up the pace of asset monetization while credit funds apparently have less concern that interest income will be eviscerated through draconian Fed rate cuts.
Private Equity Investors Learn What Family Shareholders Have Always Known
Private Equity Investors Learn What Family Shareholders Have Always Known
Family shareholders bear the risk of illiquidity. So what can family businesses and family shareholders do to manage the burden of illiquidity? Five things come to mind:
Private Equity Marks Trends Summer 2024
Portfolio Valuation: Private Equity and Credit

Summer 2024

Perhaps it is back to an alternate future as the Dodgers defeated the Yankees in the World Series after losing to the Yankees in 1977, 1978, and 1996.
Private Equity Marks Trends Fall 2023
Portfolio Valuation: Private Equity and Credit

Fall 2023

We are generalizing here, but stocks have been supported by a soft consensus that the economy will avoid a hard landing and that the Fed may pivot to rate cuts in 2024 (i.e., the 2022 hope about 2023). Likewise, credit has benefited from the soft-landing narrative as credit spreads, especially CCC, have narrowed this year. Arguably, a lot of potential good news is already reflected in security prices.
Private Equity Marks Trends Spring 2023
Portfolio Valuation: Private Equity and Credit

Spring 2023

Although market conditions are difficult for venture-backed firms that require capital and PE-backed companies that need to refinance debt, the presumably imminent recession is not yet visible.
Private Equity Marks Trends Fourth Quarter 2022
Portfolio Valuation: Private Equity and Credit

Fourth Quarter 2022

Fairness Opinions for GP-Led Secondaries
Private Equity Marks Trends Second Quarter 2022
Portfolio Valuation: Private Equity and Credit

Second Quarter 2022

Cliff Asness, the co-founder of AQR Capital Management, raises a couple of interesting questions about investing in private equity in a recent Morningstar podcast that speak to his background as a “quant” who runs one of the largest and most successful quant-focused funds.
Private Equity Marks Trends First Quarter 2022
Portfolio Valuation: Private Equity and Credit

First Quarter 2022

FEATURE ARTICLESolvency of the SponsorAlso in This IssueUpdated Metrics forPrivate Credit and EquityPublicly Traded Private CreditVenture Capital
Private Equity Marks Trends Third Quarter 2021
Portfolio Valuation: Private Equity and Credit

Third Quarter 2021

The third quarter is off to a great start for private equity and credit. Public market and acquisition markets are strong; debt capital is plentiful and available at record low yields. SPAC IPOs have slowed (~$120 billion YTD) but SPACs have lots of capital to deploy and have become another liquidity option for VC-backed companies that by-pass a traditional IPO.
Private Equity Marks Trends Fourth Quarter 2020
Portfolio Valuation: Private Equity and Credit

Fourth Quarter 2020

What an odd year 2020 has been. Public equity, high yield and leverage loan markets crashed in March for a reason—the economic calamity related to COVID-19. Private equity and private credit were especially challenged because illiquid assets could not be sold if there was a desire to do so, and capital initiatives were focused on making sure portfolio companies had liquidity to survive. Then a rally started in late March that has seen only a few interruptions since.
Private Equity Marks Trends Second Quarter 2020
Portfolio Valuation: Private Equity and Credit

Second Quarter 2020

The market provided maneuvering room for private equity and credit funds during the second quarter as it relates to quarter-end marks. Following a dramatic four week sell-off that occurred during the last week of February through March 23, both equity and credit markets staged strong rebounds during the second quarter as liquidity returned to markets.
Private Equity Marks Trends First Quarter 2020
Portfolio Valuation: Private Equity and Credit

First Quarter 2020

Lenin is credited with saying, “There are decades where nothing happens; and there are weeks where decades happen.” March 2020 was the latter for Wall Street and Main Street. The government mandated shutdown of the economy to fight COVID-19 has produced a recession or possibly depression of unknown depth and duration. Of course, crises create opportunities; and rarely is the aftermath as bad as feared.
Private Equity Marks Trends Third Quarter 2019
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Third Quarter 2019

An emerging issue for investors this year is liquidity, or potentially the lack of it. Liquidity and illiquidity always have been key considerations in any market.
Private Equity Marks Trends First Quarter 2019
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

First Quarter 2019

Bob Farrell was Merrill Lynch’s Chief Market Strategist from approximately 1977 to 1992. His “Ten Market Rules” remain widely quoted on Wall Street today.
Private Equity Marks Trends Second Quarter 2019
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Second Quarter 2019

As the second quarter draws to a close, two seemingly disparate cross currents are evident that have implications for private equity and credit. One is a market in which capital flows are generous. The IPO market is red-hot like (sort of) 1999, while the market for middle market and broadly syndicated credits entails little pushback from lenders.
Private Equity Marks Trends Fourth Quarter 2018
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Fourth Quarter 2018

As of the penning of this article in early December, leverage loans, high yield bonds, and publicly traded equities are under varying degrees of pressure. The Russell 2000 has fallen about 15% from its early September high; the S&P 500 is down about 10%; and the option adjusted spread (“OAS”) on BAML’s high yield bond index has widened over 125 bps.
Private Equity Marks Trends Third Quarter 2018
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Third Quarter 2018

According to PitchBook, 2,247 private equity deals totaling $264 billion were completed in the U.S. during 1H18, a 2% increase in volume but a 6% decrease in value compared to 1H17.
Private Equity Marks Trends Second Quarter 2018
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Second Quarter 2018

According to PitchBook’s breakdown of private equity in the U.S., PE fundraising decelerated sharply in the 1Q18, totaling $36.6 billion across 55 vehicles, down from $55.8 billion in the 1Q17.
Private Equity Marks Trends First Quarter 2018
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

First Quarter 2018

According to PitchBook total U.S.-based private equity activity in 2017 was relatively consistent with 2016, despite record-breaking levels of available capital.
Private Equity Marks Trends Fourth Quarter 2017
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends 

Fourth Quarter 2017

Despite record fundraising levels by PE firms in the U.S., M&A deal volume is down 11% in the first three quarters of 2017 compared to the first three quarters of 2016 as pricing remains high and the number of targets dwindles.
Private Equity Marks Trends Second Quarter 2017
Portfolio Valuation: Private Equity & Venture Capital Marks & Trends

Second Quarter 2017

In this issue of Portfolio Valuation, we expand our scope to include venture capital, which is the fastest growing part of our portfolio valuation practice.
Private Equity Marks Trends Fourth Quarter 2016
Portfolio Valuation: Private Equity Marks & Trends

Fourth Quarter 2016

A Market Participant Perspective on the Size Premium
Private Equity Marks Trends Third Quarter 2016
Portfolio Valuation: Private Equity Marks & Trends

Third Quarter 2016

The Nov. 8 election of Donald Trump as president has produced a rewrite of assorted narratives. One is that the banking industry is a winner. Investors agreed. The SNL U.S. Bank index rose 13.3% last week. Outside of the financial crisis era, it was the biggest weekly move in the index over the past 10 years. The largest was the trading week ended March 13, 2009, when it became clear the Obama administration was not going to nationalize the banks and, if my memory is correct, the week in which application of mark-to-market accounting was diluted.
Private Equity Marks Trends Second Quarter 2016
Portfolio Valuation: Private Equity Marks & Trends

Second Quarter 2016

The first six months of 2016 were eventful for U.S. markets. Worldwide, markets dealt with the continued blight within the oil industry and the shockwave of United Kingdom’s decision to leave the European Union. In the U.S., investors worried over potential Fed interest rate hikes and the inflated unicorn valuations. It appears that no market was safe from turbulence. At the halfway mark of 2016, we review the state of public and private equity markets.
Private Equity Marks Trends First Quarter 2016
Portfolio Valuation: Private Equity Marks & Trends | First Quarter 2016
On May 23, Ares Capital (ARCC) announced the acquisition of fellow business development company, or BDC, American Capital (ACAS) in a cash and stock deal valued at $4.0 billion. The deal is notable from several perspectives. First, the transaction brings closure to the ACAS saga. Second, the deal includes third-party support from ARCC’s management company. Finally, the transaction structure allowed ARCC to raise nearly $2.0 billion in new equity without diluting NAV per share, despite ARCC shares trading at an 8% discount to NAV prior to the announcement.
Private Equity Marks Trends Fourth Quarter 2015
Portfolio Valuation: Private Equity Marks & Trends

Fourth Quarter 2015

As mutual fund flows continue to favor passive strategies, some active fund managers are beginning to look to alternative asset classes to augment returns and generate sustainable alpha. Since open-end funds need to calculate NAV on a daily basis, the inclusion of illiquid venture capital investments in liquid funds shines a brighter spotlight on fair value measurement.
Private Equity Marks Trends Third Quarter 2015
Portfolio Valuation: Private Equity Marks & Trends

Third Quarter 2015

Recently, we interviewed Travis Harms, who leads the financial reporting valuation practice at Mercer Capital. Travis commented on a few issues around portfolio valuation. The following is a lightly edited transcript.
Private Equity Marks Trends Second Quarter 2015
Portfolio Valuation: Private Equity Marks & Trends

Second Quarter 2015

This quarter we outline our process when providing periodic fair value marks for venture capital fund investments in pre-public companies.
Private Equity Marks Trends First Quarter 2015
Portfolio Valuation: Private Equity Marks & Trends

First Quarter 2015

For private equity fund sponsors, reasonable, defensible, and timely fair value marks for portfolio investments are increasingly demanded by existing and prospective investors, auditors, and regulators. In this, our inaugural issue of Portfolio Valuation, we will provide a brief digest and commentary of some of the most relevant market trends influencing the fair value regarding private equity portfolio investments.