Private asset funds are having a moment—and it’s not slowing down anytime soon.
The sector just crossed $14 trillion in 2025, up nearly 10% year-to-date and a whopping 77% since 2020. If projections hold, we’re looking at $23.9 trillion by 2030. That’s a 70% jump in just five years, with private equity leading the charge.
So what’s fueling this surge? Asian markets are heating up, institutional investors are outsourcing heavily, and despite looming regulation fears, capital keeps flooding in. Here’s what’s actually happening—and what it means for the next decade of asset management.
Private Equity Is the Growth Engine (But It’s Not Alone)
Private equity is the clear heavyweight here, projected to leap from $9.9 trillion to $17.4 trillion by 2030. That’s where the smart money’s betting.
But don’t sleep on the supporting cast. Infrastructure funds grew 10% to $1.35 trillion this year, boosted by investments in digital infrastructure and energy security. Private debt climbed 7.7% to $1.36 trillion. Even real estate—the slowest grower at just 3.1%—still hit an all-time high of $1.48 trillion.
According to Yegor Lanovenko, global co-head of funds services at Ocorian, “The decade ahead will be transformational for global asset management…with structural shifts across investor profiles and how private market products are distributed.”
Translation? The entire landscape is reshaping, and fast.
Asia’s Rising, But America Still Runs the Show
Here’s the plot twist: Asian markets are outpacing everyone else. Private equity in Asia hit $2.1 trillion in 2025—up 15.8% in just eight months. That’s 30% of this year’s total growth, despite Asia holding only a fifth of global assets.
Impressive? Absolutely. But North America isn’t going anywhere.
The US still controls over 50% of global private equity funds and 62% of private debt funds. It’s the 800-pound gorilla in the room, and it’s not losing its grip anytime soon.
Vincent Calcagno, head of US growth at Ocorian stated: “The shape of the market in 2030 is clear—a cohort of larger asset managers will become increasingly dominant in the US and globally as the line between investment options for retail and institutional investors blurs.”
Big players with massive distribution channels have the edge. And they’re using it.
Family Offices and Pension Funds Are Doubling Down
Who’s pumping money into private markets? Family offices and pension funds are leading the charge, with capital from all major limited partner sources expected to rise.
These institutional investors see private assets as a way to diversify, chase higher returns, and hedge against public market volatility. It’s a shift that’s been building for years—and it’s accelerating.
Regulation Fears Are Real (And Growing)
But it’s not all sunshine and hockey-stick growth charts. There’s a cloud on the horizon: regulation.
A staggering 85% of private equity professionals expect increased regulation over the next two years. Another 88% predict more industry restrictions and fines. As private markets grow, so does regulatory scrutiny.
The response? Outsourcing. Nearly 50% of institutional investors admit they’re ramping up their use of third-party providers for non-core functions. Over 80% expect to rely even more on outsourcing in the next two years, particularly for investor services and fund administration.
It’s a pragmatic move. When regulatory complexity rises, offloading compliance headaches to specialists makes sense.
What This Means for Investors
The private asset boom isn’t just a headline—it’s reshaping where money flows and how it’s managed. Larger asset managers are consolidating power, retail and institutional lines are blurring, and the next five years will separate the nimble from the dinosaurs.
If you’re invested in or considering private markets, keep an eye on regulatory developments and think about where the growth is happening. Asia’s momentum is undeniable, but North America’s dominance ensures it remains the centre of gravity.
The $24 trillion question? Who positions themselves smartly before 2030 hits.
FAQ: Private Asset Funds Growth
Q1: What are private asset funds?
A: Private asset funds include private equity, private debt, real estate, and infrastructure investments not traded on public exchanges. They’re typically accessed by institutional investors, family offices, and high-net-worth individuals.
Q2: Why are private asset funds growing so fast?
A: Investors are chasing higher returns and diversification beyond volatile public markets. Strong performance in Asia, infrastructure buildouts, and increased institutional interest are major drivers.
Q3: Which region is seeing the fastest growth?
A: Asian markets saw 15.8% growth in 2025, the fastest globally. However, North America still holds the majority of total assets under management.
Q4: What’s driving the outsourcing trend?
A: Growing regulatory complexity and capital inflows are pushing institutional investors to offload non-core functions like fund administration to third-party specialists. It’s about efficiency and risk management.
Q5: Should retail investors care about this trend?
A: Yes. As the line between retail and institutional products blurs, expect more private market access through vehicles like interval funds and private credit ETFs in the coming years.
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Effective Date: 15th July 2025
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