Global private equity investment reached $1.5tn across 14,650 transactions in the first nine months of 2026, as capital became increasingly concentrated in fewer, larger deals, according to Private Equity Wire citing KPMG’s latest Pulse of Private Equity report.
Investment activity remained selective amid geopolitical uncertainty, elevated financing costs and inflationary pressures, with managers prioritising larger transactions and businesses offering identifiable value-creation opportunities, according to Private Equity Wire.
Regional investment totals for 9M 2026
The Americas accounted for $854.6bn across 6,845 deals in the first nine months of 2026, including $793.4bn in the US, according to Private Equity Wire.
Europe, the Middle East and Africa attracted $521.4bn across 6,249 transactions during the same period, while Asia-Pacific recorded $137.8bn across 1,109 deals, according to the report.
The UK was the largest private equity market in the Europe, Middle East and Africa region, attracting $165bn across 1,510 transactions during the first three quarters, and KPMG said this put the UK on course for a five-year investment high.
Sector concentration: TMT leads while energy trends toward a record year
Technology, media and telecommunications remained the largest sector globally, attracting $479.1bn in the first nine months of 2026, according to KPMG’s Pulse of Private Equity report.
Energy and natural resources accounted for $243.3bn, positioning the sector for a record year as investors targeted power generation and infrastructure linked to AI demand, the report said.
KPMG expects AI infrastructure, energy and resilient businesses offering clear operational improvement opportunities to continue to attract private equity capital, and it expects dealmaking to remain selective into 2027.
Carve-outs, exits, and fundraising implications
Carve-out activity reached $182.2bn across 1,254 transactions, and KPMG said this put 2026 on track to become the second-strongest year on record for corporate carve-outs after 2021.
Global private equity exit value totalled $985.2bn across 2,204 transactions during the first nine months of 2026, according to the report.
On a rolling 12-month basis, exit value reached $1.4tn, an 18-quarter high, even as exit volumes fell to their lowest level in 22 quarters, according to Private Equity Wire.
KPMG said the divergence reflects an increasingly concentrated exit market, with larger disposals accounting for a greater share of realised value while smaller transactions remain difficult to execute.
KPMG also warned that a sustained recovery in exits would be important for returning capital to investors and supporting future fundraising activity, which it said remains concentrated among larger managers with established distribution records.
