Growth Equity Investing in Private Markets: How Times Have Changed

Leading companies are staying private longer, creating more value before their IPOs. This trend shifts the balance of growth opportunities from public markets to private capital.

Recent post-IPO performance has lagged broader equity markets. Meanwhile, a new generation of scaled private companies is emerging. These firms exhibit the size and maturity of public businesses coupled with high growth rates. Artificial intelligence is accelerating this value creation, allowing AI-driven companies to reach unprecedented scale and revenue while still private. Access to these opportunities is competitive, demanding active management and disciplined underwriting. Investors should focus on selectivity and differentiated sourcing.