Private Market Secondaries Are Becoming a Core Liquidity Tool

June 8, 2026

Private market secondaries are seeing record activity.

According to J.P. Morgan, global transaction volume for private market secondaries reached $226 billion in 2025. That was a 41% increase from 2024.

The increase is tied to a slower exit market. IPO activity has remained limited, and many private companies and fund assets are being held longer than expected. That creates a problem for some investors.

Limited partners often enter private equity, real estate, private credit, venture capital, and other private market investments with long holding periods in mind. But investor needs can change. A family office may want to rebalance. An RIA may need to adjust client exposure. An accredited investor may want liquidity before a fund reaches its final exit.

Secondaries give investors another option.

Instead of waiting for the underlying fund or asset to sell, an investor may be able to sell an existing limited partnership interest to another qualified buyer. The buyer gets access to a private market position that already has history. The seller gets a potential path to liquidity.

This activity also matters for sponsors.

As more investors look to sell private fund interests, sponsors need a process that protects control over transfers and investor approvals. A secondary market works better when buyers, sellers, and sponsors can operate within a clear approval framework.

The growth in secondaries shows how private markets are changing. More capital has moved into private investments over the last decade. As that capital stays invested for longer periods, liquidity becomes a larger issue.

Private markets are still built around long-term ownership. But investors increasingly need ways to manage timing, exposure, and liquidity before final exits occur.

Source: J.P. Morgan, April 13, 2026