Private equity is transitioning from the era of cheap capital to a more disciplined, performance-driven landscape. As exits recover and secondaries rise, investors who prioritise manager quality, diversification and liquidity flexibility will be best positioned for the next phase.

2025 began with trade tensions and equity drawdowns but ended in a rare synchronised rally across asset classes. From emerging market leadership to the return of bonds as a source of income and diversification, the year marked a decisive shift in global market dynamics and investor behaviour.