Key Takeaways
- • Record Realisations Drive Capital Returns: CVC reported last-twelve-months realisations of €23.8bn, representing 79% year-on-year growth, with the firm returning 33% more capital than it has called since 2022—signaling robust exit momentum and portfolio maturation across platforms.
- • 2025 Resilience Sets Constructive 2026 Backdrop: Despite early-year headwinds from tariffs, geopolitical tensions, and elevated volatility (the highest since 2022), underlying economic fundamentals strengthened in 2025—with moderated inflation, firm labour markets, and more accommodative central bank policy—positioning private markets for measured global deal activity improvement in 2026.
- • Global Deal Activity Strengthens, Europe Outperforms: Deal activity accelerated in the second half of 2025 as financing conditions improved and confidence returned, with Europe showing particular strength; this momentum is expected to persist into 2026, albeit at a measured pace amid persistent geopolitical uncertainty.
- • Europe Offers Diversification and Relative Value: Against an environment of ongoing geopolitical volatility, selectivity remains paramount; Europe presents meaningful diversification benefits, relative value opportunities, and sound underlying fundamentals for long-term institutional investors and private wealth allocators.
- • Private Wealth Channel Expands Significantly: CVC's private wealth products, which provide eligible investors access to institutional-quality strategies through single investments, surged 40% with fee-paying AUM rising to €151bn as of mid-2026, reflecting strong appetite for private capital solutions.
Summary
CVC's 2026 half-year review reveals a private markets landscape defined by underlying resilience despite surface-level uncertainty. While 2025 was marked by volatile headlines dominated by tariff developments and geopolitical tensions—with average market volatility reaching its highest level since 2022—the real economy demonstrated surprising strength. Inflation moderated, labour markets remained relatively firm, and central banks shifted to more accommodative policy stances, easing financing conditions and restoring investor confidence as the year progressed.
Deal activity reflects this dynamic recovery pattern. After early-year caution that temporarily slowed transaction momentum, global private equity activity strengthened materially in the second half of 2025 as financing conditions improved and market sentiment shifted. Europe performed particularly well during this period. Looking forward, CVC expects this positive trajectory to carry into 2026, though the pace is anticipated to be measured and geopolitical volatility will likely persist as a structural feature of the operating environment.
Capital returns have reached record levels, underscoring the quality and timing of CVC's portfolio exits. Last-twelve-months realisations totaled €23.8bn, up 79% year-on-year, with the firm returning materially more capital than it has called since 2022. This metric is particularly revealing for institutional allocators assessing portfolio productivity and cash generation capacity. The realisations span all four of CVC's platforms—Private Equity, Credit, Infrastructure, and Secondaries—indicating broad-based strength rather than concentration in single strategies.
CVC emphasizes selectivity as the critical investment principle for 2026. Within this environment, Europe offers institutional and family office investors three distinct advantages: diversification benefits relative to other geographies, relative value opportunities as valuations remain attractive, and sound underlying fundamentals supported by both monetary easing and supportive fiscal policy, particularly in key European markets. The private wealth channel has responded to these dynamics, with private wealth AUM surging 40% and fee-paying AUM reaching €151bn, reflecting growing institutional and high-net-worth demand for access to CVC's institutional-quality private capital strategies through streamlined vehicles.
Deal activity reflects this dynamic recovery pattern. After early-year caution that temporarily slowed transaction momentum, global private equity activity strengthened materially in the second half of 2025 as financing conditions improved and market sentiment shifted. Europe performed particularly well during this period. Looking forward, CVC expects this positive trajectory to carry into 2026, though the pace is anticipated to be measured and geopolitical volatility will likely persist as a structural feature of the operating environment.
Capital returns have reached record levels, underscoring the quality and timing of CVC's portfolio exits. Last-twelve-months realisations totaled €23.8bn, up 79% year-on-year, with the firm returning materially more capital than it has called since 2022. This metric is particularly revealing for institutional allocators assessing portfolio productivity and cash generation capacity. The realisations span all four of CVC's platforms—Private Equity, Credit, Infrastructure, and Secondaries—indicating broad-based strength rather than concentration in single strategies.
CVC emphasizes selectivity as the critical investment principle for 2026. Within this environment, Europe offers institutional and family office investors three distinct advantages: diversification benefits relative to other geographies, relative value opportunities as valuations remain attractive, and sound underlying fundamentals supported by both monetary easing and supportive fiscal policy, particularly in key European markets. The private wealth channel has responded to these dynamics, with private wealth AUM surging 40% and fee-paying AUM reaching €151bn, reflecting growing institutional and high-net-worth demand for access to CVC's institutional-quality private capital strategies through streamlined vehicles.
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