Preqin’s Alternatives in North America report shows that North American private capital growth slowed as both fundraising and performance continue to come off previous highs from 2021 and 2022.
Regardless, North America’s USD8.34 trillion total private capital assets under management (AUM) in June 2024 made up 57 per cent of the global total. The region has strengthened its hold on global assets, growing at an annual rate of 14.6 per cent since the start of the decade – ahead of the 12.6 per cent global annual increase in the same metric. When accounting for the USD4 trillion in North America–based hedge fund assets, North America’s share rises to 63 per cent of total alternative assets AUM.
Nick Mairone, Vice President of Research Insights, at Preqin says, ‘The rising influence of the world’s largest managers, many of which are US-based, has driven much of private capital’s AUM growth, and they continue to outraise their smaller peers by a significant margin. With fundraising expected to be lower in 2025 than in 2024, performance should continue to drive short-term AUM growth in 2025.’
Additional key report findings:
North America-based private capital fundraising: In 2024, Preqin data shows that North America-based private capital funds raised USD684.6 billion – accounting for 67 per cent of the amount raised globally, at USD1.02 trillion.
North American private wealth: Fundraising efforts are increasingly focused on private wealth investors, but challenges remain in identifying and addressing this segment across different regions. North America remains the region that has the most private wealth investors, which is more evident for wealth managers than family offices. 71 per cent of wealth managers are in North America, followed by 14 per cent in Europe, 8 per cent in Asia, and 7 per cent in the rest of the world.
Private equity dealmaking: Deal activity fell in 2024 but remains historically high following its 2021 peak. The average private equity deal for North American assets reached USD924 million in 2022, falling to USD654 million in 2024.
