The private equity (PE) market size in the United States is expected to reach *** billion U.S. dollars in 2025. By 2030, the U.S. PE market is forecast to increase to **** trillion U.S. dollars, with a compound annual growth (CAGR) of *** percent.

The Global Private Equity Market is Segmented by Fund Type (Buyout and Growth, Venture Capital, Mezzanine, and More), Sector (Technology, Healthcare, Real Estate, Financial Services, Industrials, Telecom, and More), Investments (Large Cap, Upper-Middle Market, and More), and Region (Europe, North America, South America, Asia-Pacific, and Middle East and Africa). 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 opportunities

The Europe Private Equity Market is Segmented by Fund Type (Buyout and Growth, Venture Capital, Mezzanine, and More), Sector (Technology, Healthcare, Real Estate, Financial Services, Industrials, Telecom, and More), Investments (Large Cap, Upper-Middle Market, and More), and Country (United Kingdom, Germany, France, Sweden, Italy, Spain, Netherlands and More). The Market Forecasts are Provided in Terms of Value (USD).

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 ***** billion British pounds. In 2023, the industry is expected to grow by approximately *** percent, reaching nearly *** billion British pounds.

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.

The Asia-Pacific Private Equity Market is Segmented by Fund Type (Buyout and Growth, Venture Capital, Mezzanine, and More), Sector (Technology, Healthcare, Real Estate, Financial Services, Industrials, Telecom, and More), Investments (Large Cap, Upper-Middle Market, and More), and Country (India, China, Japan, Australia, South Korea and More). The Market Forecasts are Provided in Terms of Value (USD).

Private equity (PE) firms have benefited from record-low interest rates at the start of the past five years, allowing for inexpensive financing and increased buyout activity. Accordingly, PE firms have been able to expand their portfolios extensively. Private equities' allure to investors as an alternative class for diversifying portfolios has benefited fund popularity. Yet, competition from sophisticated and sizable foreign PE firms has limited domestic firms’ performance. Industry revenue is expected to grow at an annualised 8.4% over the five years through 2024-25, to $924.8 million. Asset growth, which can be a more reliable measure of private equity growth, has risen at an annualised 5.4% over the same period. The onset of inflationary pressures and subsequent interest rate rises have stymied private equity incomes and activity. An elevated interest rate environment has subdued PE firms’ ability to secure funding for buyouts and other ventures. Industry revenue is anticipated to rise 2.4% in 2024-25, following a slump in revenue in 2023-24. Challenging conditions for the wider economy are encouraging private equity firms to snap up financially struggling businesses while discouraging them from floating mature businesses in response to concerns over returns. Private equity is projected to continue growing over the coming years as investors diversify their portfolios. A rise in the value of managed funds and a strong sharemarket performance will likely benefit private equity expansion. Growth in specific investment areas, like financial technology (fintech), healthcare, and education and training, are likely to underpin private equity expansion. However, elevated interest rates are on track to continue limiting private equity expansion. Yet subsiding inflationary pressures and easing fiscal policy are set to benefit a resurgence in PE activity. Private equity revenue is projected to expand at an annualised 1.1% over the five years through 2029-30 to total $978.6 million, with assets set to grow by an annualised 2.8% over the same period.

The United States private equity market will grow from USD 2,995 billion in 2024 to USD 6,584.6 billion by 2032, at a CAGR of 10.5% during 2025–2032.

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 ***** million euros.

Private Equity Market Outlook

According to our latest research, the global private equity market size reached USD 6.4 trillion in 2024, demonstrating robust expansion driven by increased investor appetite and a dynamic deal-making environment. The market is projected to grow at a CAGR of 10.1% from 2025 to 2033, propelling the market value to an estimated USD 15.1 trillion by 2033. This growth trajectory is underpinned by a surge in cross-border investments, technological advancements, and the increasing role of private capital in financing innovation and business transformation across diverse industries.

One of the primary growth factors for the private equity market is the sustained low interest rate environment witnessed globally in recent years, which has encouraged institutional investors, pension funds, and sovereign wealth funds to seek higher-yielding alternatives to traditional fixed-income products. Private equity offers attractive risk-adjusted returns, portfolio diversification, and access to high-growth companies, making it a preferred asset class for sophisticated investors. Additionally, the proliferation of dry powder—unallocated capital waiting to be invested—has fueled competition among private equity firms, driving up valuations and accelerating the pace of deal activity. This abundance of capital has empowered firms to pursue larger and more complex transactions, further expanding the market’s size and influence.

Another significant driver is the increasing adoption of technology across private equity operations and portfolio companies. Digital transformation initiatives, such as the integration of artificial intelligence, data analytics, and automation, have enhanced the ability of private equity firms to identify lucrative investment opportunities, optimize portfolio management, and drive value creation post-acquisition. Furthermore, the rise of sector-focused funds and specialized investment strategies has enabled private equity managers to develop deep expertise in high-growth industries such as healthcare, technology, and renewable energy. This specialization not only attracts limited partners seeking targeted exposure but also enhances the ability of general partners to deliver outsized returns through operational improvements and strategic guidance.

The evolving regulatory landscape and the growing emphasis on environmental, social, and governance (ESG) criteria are also shaping the private equity marketÂ’s future. Investors are increasingly demanding greater transparency, responsible investment practices, and measurable ESG outcomes from private equity managers. This trend has prompted firms to integrate ESG considerations into their investment processes, from due diligence to portfolio monitoring and exit planning. As a result, ESG-focused funds are gaining traction, attracting capital from impact-oriented investors and broadening the marketÂ’s appeal. The convergence of financial performance and societal impact is expected to drive innovation in fund structures, reporting standards, and stakeholder engagement, further propelling the marketÂ’s growth.

The Private Equity Secondary market is gaining prominence as investors seek liquidity and risk management solutions in an increasingly dynamic investment landscape. This market involves the buying and selling of pre-existing investor commitments to private equity funds, offering a strategic avenue for investors to rebalance portfolios, manage exposure, and optimize returns. The growth of the secondary market is driven by a combination of factors, including the maturation of private equity portfolios, increased transparency, and the rising demand for alternative investment strategies. As the market continues to evolve, secondary transactions are becoming more sophisticated, with innovative deal structures and a broader range of participants, including institutional investors, family offices, and specialized secondary funds. This trend underscores the growing importance of liquidity solutions in the private equity ecosystem, enabling investors to navigate market cycles and capitalize on emerging opportunities.

Regionally, North America continues to dominate the private equity landscape, accounting for the largest share of global assets under management and deal flow. However, Europe and Asia Pacific are rapidly gaining groun

United States Private Equity Market was valued at USD 475.08 Billion in 2024 and is expected to reach USD 860.39 Billion by 2030 with a CAGR of 10.46% during the forecast period.

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.

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

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. Economic volatility and inflation led to the Fed increasing interest rates substantially throughout the period and fund managers reevaluated and pivoted their investment strategies to navigate the complex economic environment. Higher interest rates have reduced liquidity and increased the shift of capital into fixed-income securities. However, in 2024 and 2025, the Fed cut interest rates and is anticipated to cut rates again which will increase liquidity and drive capital back into equity markets. Overall, over the past five years, industry revenue grew at a CAGR of 4.4% to $313.3 billion, including an increase of 3.6% 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 2.1% to $347.0 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 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.

The Asia-Pacific private equity industry is experiencing robust growth, driven by increasing institutional investor interest, a burgeoning middle class fueling consumer spending, and supportive government policies in key markets like China, India, and Australia. The region's diverse economies and expanding entrepreneurial landscape present numerous investment opportunities across various sectors, including technology, healthcare, and infrastructure. While the historical period (2019-2024) showed a steady increase, the forecast period (2025-2033) projects even stronger expansion. This surge is fueled by several factors: the rise of family offices seeking higher returns, the increasing availability of sophisticated financial instruments, and the ongoing digital transformation across various industries, creating attractive acquisition targets. Furthermore, government initiatives promoting foreign direct investment and easing regulatory hurdles are contributing to a favorable investment climate. We estimate that the market size in 2025 is approximately $500 billion, considering the substantial growth observed in recent years and anticipated future expansion. A conservative CAGR of 10% during the forecast period is projected, resulting in a market size exceeding $1.3 trillion by 2033. The strong growth trajectory is not without its challenges. Geopolitical uncertainties, regulatory changes, and macroeconomic fluctuations could impact investment activity. However, the long-term fundamentals remain positive. The increasing sophistication of local private equity firms, coupled with the influx of international capital, positions the Asia-Pacific region for continued dominance in the global private equity landscape. The focus will likely shift towards sustainable investments and ESG (Environmental, Social, and Governance) considerations as investors increasingly prioritize long-term value creation alongside financial returns. Diversification across various asset classes and geographical locations will also become crucial for mitigating risks and maximizing returns in this dynamic market. This in-depth report provides a comprehensive analysis of the Asia-Pacific private equity industry, examining its growth trajectory, key players, investment trends, and future outlook. Covering the period from 2019 to 2033, with a focus on 2025, this report offers invaluable insights for investors, industry professionals, and anyone seeking to understand this dynamic market. Recent developments include: September 2022: The Asian Development Bank (ADB) signed a USD 15 million equity investment in KV Asia Capital Fund II LP, a private equity fund managed by KV Asia to provide growth capital to companies in the health care, financial services, education, manufacturing, business services, and consumer sectors across Southeast Asia., July 2022: Malaysia-headquartered private equity firm Navis Capital Partners has launched an Asia Credit Platform, Navis Asia Credit.. Notable trends are: Deals Made a Remarkable Rebound in Asia-Pacific Private Equity Market.

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.

Market Size statistics on the Private Equity, Hedge Funds & Investment Vehicles industry in the US

USA Private Equity Market size was valued at USD 523 Billion in 2024 and is projected to reach USD 931.77 Billion by 2032, growing at a CAGR of 7.49% from 2026 to 2032. Key Market Drivers:Robust Capital Availability and Fundraising: The United States has established itself as the global leader in private equity fundraising, creating a self-reinforcing ecosystem for continued growth. According to the U.S. Securities and Exchange Commission (SEC), U.S.-based private equity firms raised over $350 billion in capital commitments in 2023, accounting for approximately 60% of global private equity fundraising. The U.S. maintains its dominant position in private equity fundraising due to its deep capital markets, sophisticated investor base, and favorable regulatory environment that continues to attract domestic and international limited partners seeking attractive risk-adjusted returns.Strong Institutional Investor Participation: The consistent allocation from institutional investors drives the U.S. private equity market's growth and stability. American Investment Council shows that public pension funds in the U.S. have allocated an average of 8.7% of their portfolios to private equity investments, with these allocations generating median 10-year returns of 13.2%, outperforming most other asset classes. U.S. pension funds have increasingly turned to private equity to meet their long-term obligations, with private equity investments delivering 490 basis points of outperformance compared to public market equivalents over the past decade, according to the 2023 Public Pension Fund Analysis published by the National Association of State Retirement Administrators.