US-based private market funds now hold $7.3tn (£5.56tn) in assets under management, with private debt accounting for $846bn, according to new analysis from Ocorian.
The service provider’s Global Assets Monitor found that more than half (52 per cent) of global private market fund assets are domiciled in the US. This compares with around a quarter in Asia, valued at $3.5tn, and roughly a fifth (19 per cent) in Europe at $2.7tn.
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Private equity remains the largest component of the $7.26tn total, representing $5.06tn in assets. Private debt follows at $846bn (12 per cent), ahead of real estate at $829bn (11 per cent) and infrastructure at $529bn (seven per cent).
“While private markets have certainly faced challenges in fundraising, exits and the realignment of investment theses given interest rate, macroeconomic and geopolitical shifts, our analysis predicts that the positive growth trajectory will continue over the next five years,” said Yegor Lanovenko, global co-head of fund services at Ocorian. “Private markets retain their structural advantage, the ability to look through short-term volatility and capture durable, long-term returns.”
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Despite private equity’s continued dominance, sectors such as infrastructure and private credit have been expanding rapidly as they attract long-duration investors, while real estate faces ongoing structural headwinds, Ocorian said.
Overall, the total value of assets in US-based private market funds has surged more than 300 per cent over the past decade, up from $1.8tn in 2015, according to Ocorian.
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