The private2000® Index, which tracks 2,000 unlisted private companies globally, posted solid returns to start the year with a 4.6% return for the quarter ending March 31, 2026, including a 2.7% return in March. For the last twelve months, returns were 17.4%. Returns improved following a weak 2.5 year period beginning in 2023 thru to mid-2025.

Among the highlights of Q1 2026:

• Key Performance Drivers: Nine of ten sectors showed positive performance in Q1, led by Natural Resources (+11.4%), Real Estate & Construction (+6.4%), and Transport (+6.3%). Health and Information & Communication were close behind at +5.9% and +5.2%, respectively.

• Sector and Geographic Breakdown: The largest weights in the index are Professional Services (21.4%) and Information & Communication (19.8%), with the top 5 sectors accounting for ~80%. Geographically, the US dominates the index with a 47.5% allocation.

• Index Valuation: EV/Sales at quarter end was 1.68x, up from 1.64x at the end of Q4 2025. For EV/EBITDA (unadjusted), the index stood at 15.5x (mean), up from 15.4x in Q4. The median EV/EBITDA for the index stood at 13.3x as of March 31, 2026. Multiples have improved over the last twelve months, reversing the general downward trend witnessed from late 2022 thru Q1 2025.

• Index Market Cap and Fundamentals: The private2000 VW index market capitalization at quarter end was $2,290 billion, up from $2,076 billion at December 31, 2025. Index EBITDA margins stood at 9.9% as of March 31, 2026.

• Risk factors: The profit, size, and growth factors contributed positively in Q1, consistent with the overall strong returns in the quarter. The profit factor¹ was the strongest contributor (+342bp). The index has a positive beta to the profit factor, and firms with higher profitability outperformed in the quarter. Please see page 12 in the report for more discussion on asset betas and factor returns.

• Using the PECCS taxonomy, companies with production-based revenue models, business-focused customers, mature operations, and both products and service-oriented offerings were the key contributors to index performance.

Takeaway: Private equities returns in Q1 2026 were solid, at 4.6%. This follows a strong Q4 in 2025. Valuation multiples improved, with index level EV/Sales and EV/EBITDA up consistently over the last nine months. Deal values picked up in H2 2025, with several large transactions announced in the back half of the year. The pace has moderated somewhat in Q1, but the deal volume and exit environment has improved over the trendline from the past 3-4 years.

Read the full report.

Find out more about the private2000 index.

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Footnotes:

• ¹Profit Factor defined as top decile profit firms minus bottom decile profit firms.