United States Private Equity Market Size (2024 - 2029)

The United States Private Equity Market is experiencing significant growth, driven by an increasing preference for venture capital and buy-out funding products. This expansion is characterized by the establishment of new funds by seasoned professionals, leading to a substantial amount of deployable capital. As competition for traditional deals intensifies, private equity firms are transforming into diversified alternative asset managers, enhancing their asset management capabilities and fee income. Despite the initial negative impact of COVID-19, the market has rebounded, with heightened interest in investments contributing to its growth trajectory.

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Market Size of United States Private Equity Industry

United States Private Equity Market Summart
Study Period 2020-2029
Base Year For Estimation 2023
Market Size (2024) USD 460 Billion
Market Size (2029) USD 765 Billion
CAGR (2024 - 2029) 11.00 %
Market Concentration High

Major Players

United States Private Equity Market Major Players

*Disclaimer: Major Players sorted in no particular order

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USA Private Equity Market Analysis

The United States Private Equity Market size is estimated at USD 460 billion in 2024, and is expected to reach USD 765 billion by 2029, growing at a CAGR of greater than 11% during the forecast period (2024-2029).

The United States Private Equity Market is one of the fastest growing Private Equity Industries as business entities are more preferring venture capital and buy-out funding products for their investments and funding of organizations. There has been an increase in new funds being set up by experienced PE professionals from already established funds, resulting in high levels of deployable capital.

With competition for traditional PE deals increasing and putting pressure on returns, Private Equity firms in the United States are evolving to be diversified alternative asset managers with holdings in a variety of asset classes. This dynamic is heating up now because of two major drivers. First, private equity managers can generate higher risk-adjusted returns on assets, helping insurers generate additional spread and higher returns on equity. Second,  they increase AUM, generate additional fee income, and provide a source of permanent capital through access to the insurance company’s balance sheet.

There has been a negative Impact of COVID-19 on Private Equity and other Financial Investments and Fund Raising Products in the United States. Earlier in the first quarter of 2020, 46 Private Equity Firms were shut down in the United States because of a slowdown in businesses thus, the decline in fundraising opportunities. Post-COVID the market has witnessed significant growth as people's interest towards investments grew.

USA Private Equity Industry Segmentation

Private equity is an alternative investment class that invests in or acquires private companies that are not listed on a public stock exchange. A complete background analysis of the United States Private Equity Market, which includes an assessment of the economy, a market overview, market size estimation for key segments, emerging trends in the market, market dynamics, and key company profiles are covered in the report. The United States Private Equity Market is Segmented by Investment Type (Large Cap, Mid Cap, Small Cap) and by Application (Venture Capital, Private Equity, Leveraged Buyouts). The report offers market size and forecasts for the US Private Equity Market in value (USD) for all the above segments.

By Investment Type
Large Cap
Mid Cap
Small Cap
By Application
Early Stage Venture Capitals
Private Equity
Leveraged Buyouts
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United States Private Equity Market Size Summary

The United States Private Equity Market is experiencing robust growth, driven by a shift towards venture capital and buy-out funding products. This sector is rapidly evolving as firms diversify into alternative asset management, expanding their holdings across various asset classes. The market's expansion is fueled by the ability of private equity managers to deliver higher risk-adjusted returns, which are increasingly attractive to insurers seeking to enhance their returns on equity. Despite the initial setbacks caused by the COVID-19 pandemic, which led to a temporary decline in fundraising and the closure of several firms, the market has rebounded significantly. The resurgence is attributed to heightened interest in investments and favorable conditions such as historically low interest rates and record fundraising levels, which continue to drive private equity activity.

The competitive landscape of the United States Private Equity Market is characterized by a high degree of fragmentation, with numerous players vying for market share. Major firms like Carlyle Group, Gottenberg Associates, Chicago Capital, Vista Equity Partners, and Blackstone are at the forefront, leveraging strategic collaborations and partnerships to enhance their market presence. The market's growth trajectory is supported by favorable tax treatments for private equity funds, which are typically structured as partnerships, allowing them to operate with tax efficiencies. Additionally, firms like Tiger Global Management and Advantage Capital are navigating the market by making strategic investment decisions and focusing on underserved communities, respectively. Recent high-profile transactions, such as the acquisition of Everton by 777 Partners and the purchase of Cvent Holding Corp. by Blackstone, underscore the dynamic nature and ongoing consolidation within the market.

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United States Private Equity Market Size - Table of Contents

  1. 1. MARKET INSIGHTS AND DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Insights on Private Equity Financing and Vertical Analysis in the United States

      1. 1.2.1 Deal Size of Private Equity Financing by Series in the United States

      2. 1.2.2 Insights of Major Deals Across Industries and Top 10 -20 Leading Private Equity Across Sectors

      3. 1.2.3 Key Trends in the Investment Patterns of United States Private Equity Firms in the Recent Times

      4. 1.2.4 Private Equity Funding on the Rise in Biotech/Pharma Sectors

      5. 1.2.5 Market Outlook on Current and Future Spending of Private Equity Firms

      6. 1.2.6 Insights on Blockchain-related Private Equity Financing

      7. 1.2.7 A Brief on Rising ESG Investing by Private Equity firms

    3. 1.3 A Brief On United States Private Equity Landscape

      1. 1.3.1 An Overview of United States Private Equity Industry (Number of VC firms, AUM, VC Fund Size, etc.)

      2. 1.3.2 Prominence of the United States Private Equity Proportionate to the Global Private Equity Industry Over the Years

      3. 1.3.3 Insights on Private Equity by Industry in the United States

    4. 1.4 Insights on the Exit Landscape of United States Private Equity Worldwide

    5. 1.5 Regulatory Landscape Governing the United States Private Equity of Funds in Various Economies

    6. 1.6 Market Drivers

      1. 1.6.1 Low Interest Rates in United States and Abundant Capital is Driving the Market

    7. 1.7 Market Restraints

      1. 1.7.1 Inflation is Restraining the Private Equity Market of United States

      2. 1.7.2 Lengthening Investment Cycles are Posing New Challenges to Buyout Fund Managers

    8. 1.8 Market Opportunities

      1. 1.8.1 Digital Technology Adoption will Create Opportunities to New Entrants

    9. 1.9 Industry Attractiveness: Porter's Five Forces Analysis

      1. 1.9.1 Threat of New Entrants

      2. 1.9.2 Bargaining Power of Buyers

      3. 1.9.3 Bargaining Power of Suppliers

      4. 1.9.4 Threat of Substitute Products

      5. 1.9.5 Intensity of Competitive Rivalry

    10. 1.10 Impact of COVID-19 on the market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Investment Type

      1. 2.1.1 Large Cap

      2. 2.1.2 Mid Cap

      3. 2.1.3 Small Cap

    2. 2.2 By Application

      1. 2.2.1 Early Stage Venture Capitals

      2. 2.2.2 Private Equity

      3. 2.2.3 Leveraged Buyouts

United States Private Equity Market Size FAQs

The United States Private Equity Market size is expected to reach USD 460 billion in 2024 and grow at a CAGR of greater than 11% to reach USD 765 billion by 2029.

In 2024, the United States Private Equity Market size is expected to reach USD 460 billion.

United States Private Equity Market Report Snapshots

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