Data. Sustainability. Performance. Aviva Investors provides insights into the private market investment trends that matter in its Private Markets Study 2025 which explores the perspectives of 500 institutional investors managing USD 4.3 trillion in assets across Asia, Europe, and North America. With 73% expecting private markets to outperform public markets over the next five years, allocations have risen to 11% globally. However, challenges like benchmarking difficulties and high transaction costs persist. Investors are increasingly focused on unlocking the illiquidity premium, sustainability priorities, and managing recession risks. As private markets evolve, this study highlights key trends, opportunities, and barriers shaping the investment landscape in 2025.

Executive summary

Globally, average declared allocations to private markets rose slightly to just over 11 per cent in the last year, but remained flat in North America, at just above 12 per cent. Around half (51 per cent) of respondents plan to increase their allocations to private markets over the next two years, down from almost two thirds in 2022 and 2023. They may be waiting for private markets to adjust to the changes in macroeconomic conditions of the last two years, whereas public markets have long since repriced…

The executive summary of the report is reproduced with the kind permission of ICMIF Supporting Member Aviva Investors.