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).

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.

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

During 2024 the value of private equity deals in the United States amounted to approximately *** billion U.S. dollars. PE deals in the U.S. peaked in 2021, when deal value increased more than twofold compared to the previous year, exceeding ************ dollar. Global PE dry powder also reached record high levels in recent years, which means that there is a large volume on unallocated capital in the market.

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.

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 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.

In 2024, the most popular target sector for private equity activity in the United States was the technology, media, and telecommunications (TMT). The number of PE deals in this economic sector amounted to over *****. The second sector in the list was business services, with nearly ***** PE deals.

The US private equity market size was worth around USD 416.15 billion in 2023 and is predicted to grow to around USD 1,055.94 billion by 2032

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.

The private equity sector in the United States is estimated to have contributed to the country's gross domestic product (GDP) with nearly ************ U.S. dollars - or approximately ***** percent of the total in 2024. California and Texas were the states with the highest employment figures, wages, and GPD related to PE activity.

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 United States private equity market is a robust and rapidly expanding sector, projected to reach a significant market size by 2033. Driven by factors such as increased institutional investor participation, a favorable regulatory environment, and a high volume of attractive acquisition targets, this market demonstrates strong growth potential. The substantial capital available to private equity firms, coupled with a growing number of companies seeking funding and strategic partnerships, fuels this expansion. Furthermore, the diversification of investment strategies across large-cap, mid-cap, and small-cap companies, along with the increasing prevalence of early-stage venture capital and leveraged buyouts within the application segments, points towards sustained market growth. The presence of major players like Blackstone, Carlyle, and KKR underscores the industry’s maturity and its capacity for further consolidation and expansion in the coming years. The market's segmentation reflects its maturity and sophistication, catering to diverse investment needs and risk appetites. While the large-cap segment traditionally dominates, the increasing participation of mid-cap and small-cap companies indicates a widening investment scope and potential for higher returns. The application segments, namely early-stage venture capital, private equity, and leveraged buyouts, demonstrate the strategic diversity of the market, with each presenting unique opportunities and challenges. The continued innovation within these segments, along with the ongoing evolution of financial instruments and investment strategies, will further contribute to the dynamic nature of the U.S. private equity market's growth throughout the forecast period. This consistent growth will be supported by continuous refinement of investment methodologies and a dedicated focus on value creation in the portfolio companies. 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.

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

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

The value of private equity capital invested worldwide fluctuated overall between the second quarter of 2021 and the first quarter of 2025. During the first quarter of 2025, the lowest amount was observed in the ************ region, where it amounted to ** billion U.S. dollars. *************, on the other hand, saw the highest amount, with *** billion U.S. dollars.

The annual number of private equity (PE) deals in Latin America increased dramatically since 2006, despite experiencing significant fluctuations. The highest number of PE deals was recorded in 2022 when it amounted to 363. During 2024, private equity deal volume nearly halved, reaching 208.

The global private equity and venture capital market is projected to grow from USD 1,353.2 million in 2023 to USD 2,755.6 million by 2033, at a CAGR of 10.5% over the forecast period. The growth of the market is primarily attributed to the rising demand for alternative investment options, increasing number of start-ups and venture-backed companies, and supportive government policies. The increasing availability of capital for venture capital and private equity investments is also a key driver of market growth. North America is the largest regional market for private equity and venture capital, followed by Europe and Asia Pacific. The United States is the most active market for venture capital investments, while Europe is a major hub for private equity investments. The Asia Pacific region is rapidly growing market for both private equity and venture capital, with China and India being the key markets. The increasing number of start-ups and venture-backed companies in the region is driving the growth of the market. The supportive government policies and the availability of capital are also contributing to the growth of the market in the region.