The Private Markets Macro Outlook 2026

Across infrastructure equity, we expect to see a continuation of megatrends that have dominated the sectors for the past decade, with investors continuing to deploy capital both into traditional and renewable energy sectors, as well as funding the growth of digital infrastructure.

Meanwhile, Infrastructure debt is expected to remain resilient in 2026, with continued strong investor appetite for power, energy, and digital assets across developed markets. Debt remains an important part of the capital structure for infrastructure, which supports a consistent supply of investment opportunities to fund improvements, expansion, mergers and acquisitions and general corporate operations of infrastructure businesses.

Following a year that has seen public credit spreads tighten – in some segments becoming exceptionally tight – with private credit following the trend, we expect that investors seeking opportunities in private credit will have to be more selective in 2026, working with managers to identify superior relative value. Despite this, we still see opportunities for desirable returns, even if the coming year sees a continued slowing in the rallying of credit spreads.

The Australian property market enters 2026 with a cautiously optimistic tone, underpinned by resilient consumer demand and structural shifts across key sectors. Looking across Australian real estate markets, we predict that the retail sector may offer the most growth potential in the coming year.