1、Braced for shifting weatherMcKinsey Global Private Markets Report 2025May 20251Braced for shifting weatherWelcome to McKinseys Global Private Markets Report 2025Conditions for global private markets were decidedly mixed in 2024.Dealmaking remained tepid,for instance,while fundraising across all asse

2、t classes fell to its lowest level since 2016,even as the performance of public markets increased.Yet capital deployment increased by double digits across asset classes,as managers adapted to a world of interest rates structurally higher than in previous years.Investor interest and confidence in pri

3、vate markets remained strong.In McKinseys latest survey of the worlds leading LPs,investors say that they will allocate more capital,not less,to private markets over the coming year.Conditions are likely to remain uneven for private markets.At the time of this reports publication,geopolitical instab

4、ility and changes in trade policy are emerging as critical challenges for managers and investors.Meanwhile,innovation in technology,particularly the rapid advancement of generative AI,has compelled leaders in private markets to build new capabilities in their quest to find more value.What struck us

5、most when writing this report,however,is the resilience shown by private market stakeholders as they navigate an industry in transition.Fundraisers are looking beyond closed-end channels to raise capital in new vehicles,such as evergreen funds.Dealmakers and operators are moving from traditional fin

6、ancial engineering to focus on sustained operational transformation.And LPs are moving from being passive allocators to investing in GPs themselves(as thriving secondaries and GP stakes markets reveal).In the first part of the report,we analyze how private equity,real estate,private debt,and infrast