The number of active private equity firms has continued to expand with hardly a break despite the financial turmoil, reaching 4,270 in number in October this year, with 412 being set up worldwide in 2009, new figures show.

When private equity firms that do not raise distinct private equity funds are included, the figure is more like 6,000. In addition, it is important to also note that beneath this lies a further tranche of smaller firms that invest lesser sums of capital, raising money from private sources such as friends and family, according to Preqin.

The report said that, unsurprisingly in light of its traditional dominance, the US remains the most developed country for private equity, accounting for 53 per cent of all firms headquartered in North America, with the vast majority based in the US.

Out of the estimated 69,100 employees working in the industry worldwide, US headquartered private equity firms employ an estimated 38,500, well over half of the global total. Six of the top 10 cities by private equity employment are in the US. London, Paris, Sydney and Tokyo complete the top 10.