North American private equity AUM expected to more than double by 2029 — Preqin

North American private equity assets under management have grown 4.5 times from the end of 2010 through 2023, reaching $3.77 trillion, according to data provided by Preqin. It forecasts AUM will more than double by the end of 2029 to $8.13 trillion.

Private equity fundraising reached $424.4 billion last year, the highest since at least 2010. That’s expected to remain below $400 billion annually until 2027 and increase to more than $490 billion in 2029.

Most private equity fund strategies’ internal rates of return are projected to drop over the next six years from the 2018-2023 period. Buyout funds’ IRR is expected to fall to 14.2% from 16.9%. Funds of funds, other private equity strategies, and growth are expected to experience IRR declines of 422 basis points to 535 basis points.

Secondary funds have a forecast IRR of about 15%. That translates to a 35-basis-point increase vs. the last six years.