The private equity (PE) market size in the United States is expected to reach 460 billion U.S. dollars in 2024. By 2027, the U.S. PE market is forecast to increase to 765 billion U.S. dollars, with a compound annual growth (CAGR) of 11 percent.

The Private Equity Market report segments the industry into By Fund Type (Buyout, Venture Capital (VCs), Real Estate, Infrastructure, and more.), By Sector (Technology (Software), Healthcare, Real Estate and Services, Financial Services, and more.), By Investments (Large Cap, Upper Middle Market, and more.), and By Geography (North America, Europe, and more.).

From 2012 to 2022, the private equity market showed continuous growth in the United Kingdom. The market size of the private equity industry in 2022 was worth more than three billion British pounds. In 2023, the industry is expected to grow by approximately six percent, reaching nearly 3.4 billion British pounds.

United States Private Equity Market is Segmented by Fund Type (Buyout Fund, Growth Equity Funds, and More), Sector (Technology, Healthcare, Consumer and Retail and More), Deal Size ( Small Cap, Mid Cap, Large Cap and Mega Deals), Investor Type (Pension Fund, Investment Company, Funds of Funds, Family Offices and More), Exit Strategy (Trade Sale, IPO and More), and Region. The Market Forecasts are Provided in Terms of Value (USD)

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Private Equity Market Size 2025-2029

The private equity market size is forecast to increase by USD 885.7 billion at a CAGR of 9.5% between 2024 and 2029.

The private equity and venture capital investment landscape is experiencing significant growth, driven by an increase in deal volumes and the rising number of high-net-worth individuals (HNWIs) worldwide. This trend is fueled by the attractive returns offered by private equity and venture capital investments, which have become a popular asset class for wealth management portfolios. However, this market is not without challenges. Transaction risks, such as regulatory changes and foreign exchange fluctuations, can pose significant hurdles for investors. Additionally, there is a growing demand for impact investing, particularly in sectors like renewable energy, as investors seek to align their financial goals with social and environmental objectives.
Navigating these trends and challenges requires a deep understanding of market dynamics and a strategic approach to investment opportunities. This market trends and analysis report delves deeper into these topics, providing valuable insights for professionals seeking to maximize their private equity investments.

What will be the Size of the Private Equity Market during the forecast period?

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The markets continue to evolve, with investment strategies becoming increasingly data-driven and sophisticated. Investor returns remain a key focus, with growth stage investing and innovation hubs driving value creation. Risk management is crucial in this industry, with deal origination and fundraising strategies carefully considered. Management fees and capital calls are essential components of the fund lifecycle, while deal closing and post-investment management ensure optimal portfolio performance. Cryptocurrency investments represent an emerging trend, with digital assets joining traditional assets in investment portfolios. Impact measurement and regulatory compliance are also critical, as private equity firms strive for transparency and customer experience.
ESG integration and industry consolidation are shaping the venture capital ecosystem, with secondary market sales providing liquidity for investors. Fund size and investment strategies vary, with some focusing on start-ups and emerging technologies. Technology adoption is a significant factor in fund performance, with customer acquisition and retention key to long-term success. Fund returns are closely monitored, with performance fees incentivizing top-performing funds. In the global private equity landscape, fundraising strategies and industry trends continue to evolve. Regulatory compliance and customer experience are paramount, with digital assets investment and ESG integration shaping the future of the industry.
Private equity sales and industry consolidation are ongoing, with post-investment management and portfolio optimization crucial to maximizing returns.

How is this Private Equity Industry segmented?

The private equity industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

End-user

  Privately held companies
  Start-up companies


Application

  Leveraged buyouts
  Venture capital
  Equity investment
  Enterpreneurship


Investments

  Large Cap
  Upper Middle Market
  Lower Middle Market
  Real Estate
  Large Cap
  Upper Middle Market
  Lower Middle Market
  Real Estate


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    UK


  Middle East and Africa



  APAC

    Australia
    China
    India
    Japan


  South America

    Brazil


  Rest of World (ROW)

By End-user Insights

The privately held companies segment is estimated to witness significant growth during the forecast period.

In the realm of investment, private equity portfolios play a significant role in the additive manufacturing market. These portfolios encompass various investment vehicles, such as buyout funds, growth equity funds, strategic investments, and late-stage funding. Each type caters to different growth stages of companies in the sector. Buyout funds focus on acquiring controlling stakes in mature companies, often facilitating digital transformation and operational improvements. Growth equity funds, on the other hand, invest in companies with proven business models, aiming to fuel their expansion through capital infusion and industry expertise. Strategic investments are made by firms seeking to gain a foothold in a new market or expand their existing presence.

Legal frameworks and regulatory landscapes play a crucial role in shaping the market dynamics. Alternative investments, such as distressed debt funds and private debt, provide opportuni

The United States private equity market reached a valuation of approximately $460 million in 2025 and is projected to expand at a CAGR of 11.00% from 2025 to 2033. The market's growth is primarily driven by increasing institutional investor participation, the proliferation of family offices, and the rising popularity of alternative investment strategies. Moreover, favorable government policies, such as tax incentives for private equity investments, and a supportive regulatory environment contribute to the market's expansion. Key trends shaping the market include the growing adoption of technology and data analytics in private equity operations, the increasing focus on ESG (environmental, social, and governance) factors, and the emergence of impact investing. The market is segmented based on investment type (large-cap, mid-cap, small-cap) and application (early-stage venture capitals, private equity, leveraged buyouts). Leading companies operating in the United States private equity market include The Blackstone Group, The Carlyle Group, KKR & Co., TPG Capital, and Warburg Pincus LLC, among others. Recent developments include: September 2023: Everton has been sold to 777 Partners, with the US private equity firm taking over from Farhad Moshiri in a deal reportedly worth more than USD 685 Million. The Miami-based investment fund had signed an agreement with British-Iranian billionaire Moshiri to acquire his 94.1 percent stake., March 2023: Cvent Holding Corp., an industry-leading meetings, events, and hospitality technology provider, has entered into a definitive agreement to be acquired by an affiliate of private equity funds managed by Blackstone in a transaction valued at an enterprise value of approximately USD 4.6 billion.. Key drivers for this market are: Low Interest Rates in United States and Abundant Capital is Driving the Market. Potential restraints include: Low Interest Rates in United States and Abundant Capital is Driving the Market. Notable trends are: Lower Interest Rates and Tax Benefits Raising the Private Equity Adaption In United States.

The size of the Private Equity Industry market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 10.00">> 10.00% during the forecast period. Private equity (PE) refers to investment funds that acquire and manage companies, typically with the goal of improving their value before selling them for a profit. These funds are managed by private equity firms on behalf of institutional and accredited investors. Unlike public equity, private equity investments are not listed on public stock exchanges. PE firms often target mature companies in traditional industries, providing capital in exchange for an ownership stake. They may also buy out public companies, take them private, and restructure them for future growth. The process involves significant capital commitments and is usually accessible only to investors with substantial financial resources and expertise. Private equity investments can lead to substantial returns, but they also carry higher risks due to the illiquid nature of the investments and the extensive involvement required in managing the portfolio companies. Recent developments include: September 2022: Nonantum Capital Partners, a middle-market private equity firm, today announced the acquisition of LJP Waste Solutions ("LJP") from Aperion Management. LJP is a leading regional provider of non-hazardous solid waste and recycling services specializing in zero landfill and waste-to-energy solutions., August 2022: Indian firm Trilegal acted as the sole advisor to global consumer internet group and technology investor Prosus Ventures and PayU India for the acquisition of IndiaIdeas.com Limited (BillDesk). It is the largest-ever acquisition in the digital payments space in India, and the deal is valued at USD 4.7 billion.. Key drivers for this market are: Increasing Adoption of Innovative Tracking Technologies. Potential restraints include: Rising Competition of Banks with Fintech and Financial Services. Notable trends are: Growth Investments Have Become Larger and More Complex.

Between 2006 and 2024, private equity activity fluctuated significantly in the Asia-Pacific region. 2021 saw the highest value in terms of PE deals in the region, reaching over 450 billion U.S. dollars. In the following years, however, PE deal value in Asia-Pacific fell, reaching 227 billion U.S. dollars in 2024.

The Europe Private Equity Market Report is Segmented by Investment Type (Large Cap, Mid Cap, and Small Cap), Application (Early Stage Venture Capitals, Private Equity, and Leveraged Buyouts), and Geography (Italy, Germany, France, Switzerland, United Kingdom, and Rest of Europe). The Report Offers Market Size and Forecasts in Value (USD) for the Above Segments.

Private equity investments in the Netherlands in 2019 were around three times higher than the disinvestments. Private equity is a form of investment into private companies that are not listed on the stock exchange. It is seen a medium to long-term investment, and is usually characterized by active ownership. Typically, the investors are high net worth individuals and large institutional investors. On the other hand, there are also companies that specialize in buying companies and then sell them on again. This, to a certain degree, is reflected in the disinvestments figure. One of the most well-known examples of such a company in the Netherlands, which was acquired by an investment group with the purpose of being sold on for profit, is retailer HEMA.

Global Private Equity market size is expected to reach $781.36 billion by 2029 at 10.1%, segmented as by buyout, leveraged buyouts (lbos), management buyouts (mbos), public-to-private buyouts

The USA Private Equity Market size is USD 400 billion in 2023, showcasing market trends, forecast insights, and strategic outlook. Explore opportunities, challenges, and top players in the industry.

Private Equity Market Outlook

The global private equity market size was valued at USD 4.5 trillion in 2023 and is projected to reach USD 7.9 trillion by 2032, growing at a compound annual growth rate (CAGR) of 6.5% during the forecast period. This robust growth is driven by increasing investor appetite for high returns and the expanding range of investment opportunities in emerging sectors. The growth of private equity is further fueled by the evolving regulatory landscape, improved access to capital, and technological advancements enhancing investment strategies.

One of the key growth factors in the private equity market is the increasing diversification of investment portfolios by institutional investors. Institutions such as pension funds, endowments, and sovereign wealth funds are increasingly allocating a significant portion of their portfolios to alternative investments, including private equity, to enhance returns and mitigate risks. The low interest rate environment in many developed markets has pushed these investors to seek out higher-yielding asset classes, making private equity an attractive option. Furthermore, private equity investments are seen as effective hedges against market volatility, offering stability and long-term growth potential.

Another significant growth driver is the surge in technological innovation and digital transformation across various industries. Private equity firms are capitalizing on opportunities in tech-driven sectors such as fintech, healthtech, and artificial intelligence. These firms are not only providing capital but also strategic guidance to help portfolio companies scale rapidly and gain competitive advantages. The adoption of data analytics and artificial intelligence in investment decision-making processes is also enhancing the efficiency and accuracy of private equity investments, further boosting market growth.

The burgeoning startup ecosystem and entrepreneurial activity worldwide are also propelling the private equity market forward. Venture capital, a subset of private equity, plays a crucial role in funding early-stage companies with high growth potential. The increasing number of startups, particularly in emerging economies, is creating a wealth of investment opportunities for venture capital firms. This trend is supported by government initiatives aimed at fostering innovation and entrepreneurship, such as tax incentives and startup incubator programs. As a result, venture capital investments are expected to continue growing, contributing significantly to the overall expansion of the private equity market.

Venture Capital Investment has become a cornerstone in the private equity landscape, particularly as the global economy continues to embrace innovation and entrepreneurship. This form of investment is crucial for nurturing early-stage companies that exhibit high growth potential but require substantial capital to scale their operations. Venture capitalists not only provide the necessary funding but also bring invaluable expertise and mentorship to these startups, helping them navigate the complexities of business growth. As more entrepreneurs emerge with groundbreaking ideas, venture capital investment is poised to play an even more significant role in shaping the future of industries such as technology, healthcare, and clean energy. The symbiotic relationship between venture capitalists and startups fosters an environment of innovation, driving economic growth and creating jobs across various sectors.

Regionally, North America dominates the private equity market, driven by its mature financial markets, robust regulatory framework, and concentration of institutional investors. The United States, in particular, continues to lead in terms of deal volume and value, with numerous high-profile acquisitions and buyouts. Europe is also a significant market, with strong activity in sectors like healthcare, technology, and consumer goods. Meanwhile, the Asia Pacific region is experiencing rapid growth, fueled by economic development, an expanding middle class, and increasing foreign investment. Countries such as China and India are emerging as key players, offering lucrative opportunities for private equity investments.

Investment Type Analysis

Venture capital is a critical segment within the private equity market, focusing on early-stage investments in

South Korea private equity market size reached USD 14,998.9 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 34,769.2 Million by 2033, exhibiting a growth rate (CAGR) of 9.8% during 2025-2033. The growing focus of companies to secure long-term capital that is not easily accessible through conventional financing channels is primarily driving the market growth across the country.

Global Private Equity Market has valued at USD 645.2 Billion in 2022 and is anticipated to project robust growth in the forecast period with a CAGR of 13.45% through 2028.

This statistic shows the average fund size of private equity funds in Luxembourg from 2017 to 2019. Private equity is a form of equity, shares representing ownership or an interest in an entity, that is not publicly traded. Typically, the investors are high net worth individuals and large institutional investors. It can take different shapes, such as a management buyout, management buying (MBI), a divisional buyout or venture capital for starting companies through an angel investor. In 2019, the majority of private equity funds had a size of 100 million euros or less. The source mentioned that the average fund size was roughly 200.6 million euros.

Asia-Pacific Private Equity Market report is segmented by investment (real estate, private investment in public equity (PIPE), buyouts, and exits), and by country (China, India, Japan, Australia, Singapore, Hong Kong, and Other Countries). The report offers the market sizes and forecasts in value (USD) for all the above segments.

Market Size statistics on the Private Equity industry in Australia

In recent years, industry assets have become increasingly integral to institutional investors' portfolios and the larger asset-management market. Institutional investors are individuals or organizations that trade securities in such substantial volumes that they qualify for lower commissions and fewer protective regulations since it's assumed that they're knowledgeable enough to protect themselves. Increasing demand from institutional investors has contributed to the surge in the industry's assets under management (AUM) and revenue during the current period. In recent years, the industry has continued to enmesh itself more deeply within the broader financial ecosystem despite the challenges posed at the onset of the period. The pandemic, mainly in the first quarter of 2020, contributed to revenue declines for many operators. Many portfolios, previously thought to be sound investments, were reevaluated and businesses pivoted their strategies due to the unprecedented nature of the crisis. However, as inflation was rampant in the latter part of the period, the FED increased interest rates to control high inflation, although as inflationary pressures eased in 2024, the FED cut interest rates, which will increase liquidity in financial markets. The Fed is anticipated to cut rates further in 2025, increasing liquidity and driving the shift of investments into equities from fixed-income securities. Overall, over the past five years, industry revenue grew at a CAGR of 4.2% to $310.1 billion, including an increase of 2.5% in 2025 alone. Industry profit has climbed significantly and will comprise 49.6% of revenue in the current year. Industry revenue will grow at a CAGR of 2.7% to $353.7 billion over the five years to 2030. The Federal Reserve is anticipated to cut interest rates as inflationary pressures continue to ease. These declining interest rates will increase liquidity in the markets. Private equity firms and hedge funds will have less difficulty raising capital for investments. As characteristics of the financial system change in light of post-financial crisis banking regulations and regulators' recognition of the importance of hedge funds within the financial system, hedge funds will likely experience heightened oversight.

The UK is the largest European centre for the management of private equity (PE) investments and funds, second only to the US in terms of global importance. PE firms pool investment funds or use leverage to purchase other companies. Their goal is to improve a company's performance by introducing managerial and operational changes, before selling the company for a profit. More CEOs are wanting to retain control of their companies, increasing the number of minority stake buyouts. PE firms profit from management fees, calculated as a percentage of AUM, and performance fees on the total return from the invested company's IPO or sale to another company. Revenue is expected to grow at a compound annual rate of 6.6% to £4.6 billion over the five years through 2024-25, including growth of 4.9% in 2024-25. Following a short-lived halt in PE dealmaking at the start of 2020 following the COVID-19 outbreak, PE buyouts skyrocketed in 2021-22 due to higher levels of dry powder and low interest rates. Despite strong fundraising in 2022-23 as investors sought higher yields, PE activity slowed amid rising interest rates and a gloomy economic outlook, hitting deal volumes. Conditions only worsened in 2023-24 as the higher base rate environment, spiralling inflation and geopolitical tensions incited significant fundraising challenges and clobbered investment activity, hurting revenue. The macroeconomic environment is set to improve in 2024-25, driven by the prospect of further rate cuts and investors upgrading growth prospects, lifting deal activity. Revenue is forecast to grow at a compound annual rate of 7.2% to £6.5 billion over the five years through 2029-30. In the coming years, private equity firms will focus more on optimising operational performance and driving inorganic growth amid the high base rate environment and inflation, a sharp contrast to the expansion-driven growth experienced over the past decade. ESG will also be on their agenda, realising that significant value can be achieved from the investment strategy. Brexit has proven detrimental to domestic PE firms, but this could change depending on how effective the government's regulatory divergence is. Growing competition from alternative investment vehicles will also hurt revenue growth.