2025 report highlights growth and stability in private markets amid public markets uncertainty
TORONTO, Sept. 8, 2025 /CNW/ - Mackenzie Investments ("Mackenzie") today released its 2025 Private Markets Outlook, developed in partnership with Northleaf Capital Partners ("Northleaf"), a global private markets firm. The report, for accredited investors and investment advisors, examines the key factors shaping investor demand and opportunities in private markets investing, underscoring their role as a long-term growth engine in client portfolios.
This year's edition highlights Mackenzie and Northleaf's belief that private markets are well-positioned for long-term growth, delivering attractive returns and improving resilience during periods of public market uncertainty. With a focus on long-term value creation, private markets have the ability to offer investors a unique opportunity to achieve attractive, less correlated returns. In particular, the Private Markets Outlook points to continued growth for mid-market private equity and secondaries, rising demand for flexible, agile financing in private credit and significant increases in demand for infrastructure assets that are expected to increase the overall appeal of the asset class.
"Public markets experienced significant volatility earlier this year, prompting investors to reassess how they allocate capital," said Allan Seychuk, Vice President, Alternatives, Mackenzie Investments. "While public markets have recently regained some stability, over longer time horizons private markets have proven their strength by offering compelling opportunities that endure and often excel during periods of disruption. With greater accessibility than ever before, we believe these investments are now positioned to deliver the value, growth and stability that investors and advisors are actively seeking for either themselves or client portfolios – particularly in the mid-market segment."
In the Private Markets Outlook, contributors identify three key themes they believe will offer compelling investment opportunities through the remainder of 2025 and into 2026:
1. Strong and Growing Demand for Mid-Market Private Equity Secondaries
The private equity secondary market has seen strong growth, with transaction volumes up 45 per cent year over year in 2024 and projected to reach over US $200 billion globally in 20251. Historically, secondaries have performed well in difficult market environments, making them attractive amid ongoing trade-related uncertainty. Mid-market companies, particularly those in resilient sectors with strong leadership, are expected to drive long-term growth in this segment.
2. Private Credit Remains the Preferred Financing Source
Private credit continues to attract interest as lenders step in to provide flexible capital solutions to mid-market businesses. Compared to traditional lending, private credit offers speed, covenant flexibility and greater certainty of execution for borrowers. For investors, private credit has the potential to offer attractive yields with a degree of downside protection, and managers are well positioned to deliver the execution that mid-market companies need.
3. Attractive Investment Opportunities in Essential Infrastructure Assets
Private infrastructure opportunities are expected to grow strongly as the need for investment in this area becomes more urgent. An estimated US $100 trillion of capital will be needed to maintain, replace and build essential global infrastructure by 20402. As governments face funding constraints, private investors are increasingly stepping in. The mid-market presents the most compelling opportunities in the space, representing over 85 per cent of infrastructure transactions in 20243. Driven by accelerating trends in artificial intelligence, energy transition and decarbonization, Northleaf expects private infrastructure to enter a long-term growth phase, delivering equity-like returns, steady yields, elements of inflation protection and stability amid public market volatility.
"Private markets continue to offer institutional-grade investment opportunities that have proven their resilience – delivering long-term value, reduced volatility, and enhancing diversification," explained Nadim Vasanji, Managing Director, Northleaf. "For both institutional and retail investors, incorporating private assets can strengthen portfolios and better navigate today's complex market environment. Increasingly, these assets are viewed not as satellite exposures, but as core building blocks within diversified portfolios – a central part of how investors build resilient portfolios."
To learn more about the Outlook, please visit: https://www.mackenzieinvestments.com/en/private-markets-outlook
1 – Source: Evercore Private Capital Advisory – FY 2024 Secondary Market Review, January 2025
2 – Source: Global issues: Population, United Nations, accessed on March 19, 2025
3 – Source: Preqin (as at December 31, 2024)
About Mackenzie Investments
Mackenzie Investments ("Mackenzie") is a Canadian investment management firm with approximately $227 billion in assets under management as of July 31, 2025. Mackenzie seeks to create a more invested world by delivering strong investment performance and offering innovative portfolio solutions and related services to more than one million retail and institutional clients through multiple distribution channels. Founded in 1967, it is a global asset manager with offices across Canada as well as in Beijing, Boston, Dublin, Hong Kong and London. Mackenzie is a member of IGM Financial Inc. (TSX: IGM), part of the Power Corporation group of companies and one of Canada's leading diversified wealth and asset management organizations with approximately $287 billion in total assets under management and advisement as of July 31, 2025. For more information, visit mackenzieinvestments.com
About Northleaf Capital Partners
Northleaf Capital Partners is a global private markets investment firm with more than US$28 billion in private equity, private credit and infrastructure commitments raised to date from public, corporate and multi-employer pension plans, endowments, foundations, financial institutions and family offices. Northleaf's 275-person team is located in Toronto, Chicago, London, Los Angeles, Melbourne, Menlo Park, Montreal, New York, Seoul and Tokyo. Northleaf sources, evaluates and manages private markets investments, with a focus on mid-market companies and assets. For more information on Northleaf, please visit www.northleafcapital.com.
Important Notices
These materials are for informational purposes and do not constitute an offer to sell or a solicitation of an offer to buy any securities in any jurisdiction. Any opinions above represent Northleaf and Mackenzie's view at the time of this communication, is subject to change and may not be validated by actual events. There can be no assurance that any of the trends highlighted above will continue in the future. Some of the information was gathered from various third-party sources which Northleaf and Mackenzie believe to be accurate but has not independently verified.
SOURCE Mackenzie Investments
English Media Inquiries: Jaimie Roebuck, 647-629-2747, [email protected]; French Media Inquiries: Christina Baron, 514-889-2945, [email protected]
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