Private Market Funds Trail S&P 500 Across All Time Horizons for First Time Since 2000

For the first time since 2000, private market funds—covering private equity, debt, and venture capital—have underperformed the S&P 500 across all key time horizons (3 months to 10 years). In 2024, the State Street Private Equity Index returned 7.08%, while the S&P 500 delivered 25.02%. Rising interest rates, fewer exits, and a slowdown in dealmaking have constrained private market returns. However, sector-specific funds (especially in financials and energy) and top-performing managers continue to show pockets of outperformance, highlighting the growing need for selectivity and specialization.

#privateequity, #venturecapital, #privatemarkets, #S&P500, #financialmarkets, #alternativeinvestments, #PEreturns, #investmentstrategy, #dealmaking, #interestrates, #buyoutfunds, #venturefunds, #assetallocation, #sectorfunds, #capitalmarkets