GPs are cautiously optimistic as we enter 2025. Fundraising challenges, constrained capital deployment, and limited opportunities to exit investments are business as usual, while attempts to boost fundraising and ease liquidity pressures through wealth investors and alternative fund structures are only growing in importance.
That optimism also comes despite the imminent second Trump administration putting trade wars to the top of the external threats list, concerns over poor economic growth in Europe, and 40% of GPs fearing a major correction. A slim majority of our industry still expects the global business environment to be on the up in 2025.
This is the picture emerging from the 2025 IPEM pan-European Private Equity survey, analyzed by the team at IPEM in collaboration with global management consultancy AlixPartners. In total, 158 responses were received for the seventh annual edition of the survey organized by the CSA Institute on behalf of IPEM, working with 14 European national PE associations.
“This 7th edition of our annual IPEM European Private Equity Barometer arrives at what feels like a defining moment for our industry. We are stepping into a pivotal new chapter—one defined by disruptive opportunities and formidable challenges. The private capital landscape is undergoing profound transformation amidst heightened macroeconomic uncertainty in Europe, driven by shifting market dynamics and the emergence of a true “wealth revolution”. As part of this revolution, traditional totems of private capital are fading. The asset class is becoming more democratized, increasingly mainstream, offering greater liquidity, and adopting evergreen solutions—ushering in a wave of disruption across the landscape. This evolution presents both challenges and opportunities. Success now demands adaptability, operational excellence, and a commitment to innovation. The historical playbook is no longer enough to navigate this rapidly changing environment. Those who thrive will be the ones who embrace change and leverage uncertainty as a strategic advantage. As we navigate this transformative era together, I look forward to sharing insights, exploring opportunities, and welcoming you to Cannes to discuss how we shape the future of private equity.“
“The 2025 IPEM survey findings highlight a disrupted landscape, in which PE firms face critical priorities for this year and where operational improvement must clearly take center stage. With the private capital landscape facing constrained exits, heightened competition for funding, and evolving liquidity solutions, PE firms can no longer afford to rely on market tailwinds. True value creation lies within their portfolio companies. GP teams increasingly need to safeguard against external and market uncertainties, by sharpening operational strategies: at deal making stage, with deeper strategic and operational equity story robustness assessment; and within their portfolio companies’ lifecycle, through stronger seasoned operational support, to accelerate transformation and leverage technology. Improving efficiency and agility, while reducing the break-even point, allows firms to seize emerging opportunities and ultimately increase or protect exit value. At AlixPartners, we see operational excellence as not just a tool for adaptation, but a competitive edge for navigating this dynamic and complex environment.“
AlixPartners is a results-driven global consulting firm that specializes in helping businesses respond quickly and decisively to their most critical challenges—from urgent performance improvement to complex restructuring, from risk mitigation to accelerated transformation. These are the moments when everything is on the line —a sudden shift in the market, an unexpected performance decline, a time sensitive deal, a fork-in-the-road decision. We stand shoulder to shoulder with our clients until the job is done, and only measure our success in terms of the results we deliver. We partner with you to make the right decisions and take the right actions. And we are right by your side.
When it really matters.
Discover a summary of Thursday at IPEM Cannes | Wealth 2025 with the Photo Gallery (relive our events: Morning Run, Single Family Office Lunch, Sustainability Experts Lunch, Women Dealmaker Lunch,…
