Partners Group – Investing at High Altitude: Private Markets Outlook, 2026

The report provides an outlook on private markets for the year 2026, focusing on investment strategies and market conditions as markets start 2026 at historic highs.

Global growth was resilient in 2025, but 2026 begins with elevated market levels requiring disciplined valuation and readiness for volatility. Policy support from US fiscal measures, European monetary easing, and China’s domestic initiatives is expected to underpin growth and market sentiment. Long-term transformative forces such as AI, demographic shifts, evolving supply chains, and infrastructure upgrades will shape private market opportunities. Private equity activity is rebounding with attractive pricing and opportunities in control investments and select secondaries. Private credit returns are moderating with declining base rates; Europe offers relative value, with preference for selective middle-market lending. Infrastructure is favored for inflation protection and secular growth, with opportunities in US power and energy assets. Real estate strategy focuses on vertical depth and regional selectivity; secondaries provide compelling entry points amid subdued direct transactions. Royalties are emerging as a portfolio diversifier across established and emerging sectors.