FACTBOX-Quotes from TPG, Carlyle, Bain at Asia Venture Capital

HONG KONG, Nov 13 (Reuters) - Below are quotes from speakers at the Asian Venture Capital Journal private equity conference here on Thursday. The three speakers quoted are David Bonderman, of TPG, David Rubenstein of Carlyle Group, and Paul Edgerley of Bain Capital.

To read stories from the conference, click on [PVE-HK-LEN]

DAVID BONDERMAN, FOUNDING PARTNER, TPG CAPITAL [TPG.UL]

"It's a beautiful day in Hong Kong. The sun is shining, the sky is clear, the temperature is perfect. So let's move right on to clinical depression in talking about the economy."

"When you do the math, the ultimate exposure of the so called 'triple A' slices of paper was almost 90 percent of the value of each particular underlying house. If anyone had explained it that way, we would have said that doesn't sound so 'triple A' to me."

"By the time the securitization process got rolling, sub debt and equity were just a small slice (of the house's value). The so called 'triple A' was worth more than the whole house was 3 years before. This turned out to be perfect magic on way up, and perfect magic on the way down."

"One of the best investments we ever made was not to invest in auto makers or parts suppliers or anything to do with either. My personal view is that there will be some kind of assistance to at least GM and Ford. My personal suspicion is that the way they deal with it is to relieve those guys of retirement and health care costs."

"Private equity all has long term lock ups. So you may like our performance, you may not like our performance, but you're my partner for the next 12 years. At a hedge fund, you're my partner for the next 45 days until you can give me notice and get the hell out. So you have a situation where a trillion dollars have come out of hedge funds, which is a third of all the capital they had, and virtually no money coming out of private equity."

"It's all George W. Bush's fault." Joking about the financial turmoil.

DAVID RUBENSTEIN, CO-FOUNDER, CARLYLE GROUP [CYL.UL]

"We are transitioning from the most overleveraged economy in world to a very deleveraged economy. This transition is going to be painful. We were so overlevered it was hard not to get a loan. And of course, we invented this thing called a subprime loan. So we've gone from easy credit to no credit."

"When history is recorded, the single best deals done in this environment will probably be deals done about near the bottom for the debt of one's own company."

"Those funds that do not recognise they have to change their traditional private equity model will not survive. If we say we have to do things differently, those firms will prosper and survive. I think we have to recognise that -- those that change their business technique and business model will prosper."

"The recession this time will be far deeper than what we've seen for quite some time. Unemployment is up, retail sales are down. I suspect the recession will last at least a year, and I suspect quarter over quarter to have negative growth of 2 to 4 percent."

"While growth will be down in Asia, it will not be negative. Asia has been more resilient to the downturn. China itself will be the single most attractive place to invest."

"Not even Abraham Lincoln would have helped." Referring to the economy's impact on John McCain's U.S. presidential campaign.