The future is private (GEO)

For Professional Clients and Qualified Investors only

Capital at risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors may not receive back the amount originally invested.

BlackRock calls this a “new era” for private markets, a turning point reshaping wealth portfolios across Europe. Fabio Osta, managing director, leads the firm’s expansion of private market adoption and declares the forces driving it have been building for years.

“This is a generational transformation,” declares Osta. Structural forces — digitalisation, the energy transition, shifting supply chains and the financing necessarys of Europe’s privately owned mid and tiny-cap companies — are redefining alternatives. Over 90% of these firms are private¹, and wealth investors couldn’t access them five years ago, highlights Osta.

“This is a generational transformation,” declares Osta. Structural forces such as digitalisation, the energy transition, shifting supply chains and the financing necessarys of Europe’s privately owned mid and tiny-cap companies are redefining alternatives. Over 90% of these firms are private¹, and wealth investors couldn’t access them five years ago, highlights Osta.

That barrier is fading. Preqin, owned by BlackRock, forecasts European private-markets AuM above €5 trillion by 2030 and global totals over €30 trillion². More capital will necessary to come from wealth investors, not just institutions, Osta declares.

Five years ago, Osta declares, only ultra-high-net-worth clients could access private markets at an institutional level, as they alone could manage the complex structures and capital requirements. Today, investor demand and regulatory support have reshaped the landscape, with wealth clients pursuing more sophisticated portfolios and regulators opening access to products built for them.

Europe is seeing innovation in private markets, especially in portfolio construction. In Switzerland and some other European countries, advisers, private bankers and pension planners can now map structural private market allocations with clients. The European Long Term Investment Fund, in particular the new structure ELTIF 2.0, seeks to revolutionise this shift through simplified requirements and flexible features, including lower minimums, evergreen vehicles and adaptable liquidity windows.

Europe is seeing innovation in private markets, especially in portfolio construction. In the UK, advisers, private bankers and pension planners can now map structural private market allocations with clients. The European Long Term Investment Fund, in particular the new structure ELTIF 2.0, seeks to revolutionise this shift through simplified requirements and flexible features, including lower minimums, evergreen vehicles and adaptable liquidity windows.

Europe is seeing innovation in private markets, especially in portfolio construction. In many European countries, advisers, private bankers and pension planners can now map structural private market allocations with clients. The European Long Term Investment Fund, in particular the new structure ELTIF 2.0, seeks to revolutionise this shift through simplified requirements and flexible features, including lower minimums, evergreen vehicles and adaptable liquidity windows.

Europe is seeing innovation in private markets, especially in portfolio construction. In Italy and some other European countries, advisers, private bankers and pension planners can now map structural private market allocations with clients. The European Long Term Investment Fund, in particular the new structure ELTIF 2.0, seeks to revolutionise this shift through simplified requirements and flexible features, including lower minimums, evergreen vehicles and adaptable liquidity windows.

This evolution drives what Osta describes as “democratisation,” giving clients access to the vehicles long utilized by institutional investors.

Demand trconcludes

Private equity remains the entest point for many wealth investors, but infrastructure and private credit are the quickest-growing areas, according to Osta. “Infrastructure necessarys private capital to upgrade assets and build new ones driven by technology and AI,” he declares, citing strong demand for data centres and the necessary for Europe to build capacity.

Private credit can offer consistent income, attractive spreads and exposure to resilient sectors such as software, technology and healthcare. “Investors are being pulled in by access to the real economy, diversification and early exposure to megatrconcludes that first emerge in private markets,” he adds.

ELTIF 2.0 edge

From “Game-modifyr” to “turbocharger”. Osta declares ELTIF 2.0 earns all labels. “This regulation has enabled managers to design evergreen vehicles that can be sold to a wide range of wealth clients.” The updated rules allow broader investment universes, modern liquidity tools, liquidity windows and lower minimums.

This flexibility explains why evergreen private-market vehicles in Europe are expected to exceed €200 billion in assets shortly³. ELTIF 2.0 is also driving the emergence of holistic, multi-asset private-market strategies, something that was harder to achieve under the old regime.

The European Opportunity

Europe is a core market for BlackRock’s private market business. Innovation and fund design are key to its strategy to build private market offerings more accessible. BlackRock has deployed about €70 billion into European projects⁴, drawing on investment teams not only in global financial hubs like London but also cities like Zurich. “We deploy client capital into local products,” Osta declares, adding that proximity matters for sourcing opportunities and supporting first-time investors.

Europe is a core market for BlackRock’s private market business. Innovation and fund design are key to its strategy to build private market offerings more accessible. BlackRock has deployed about €70 billion into European projects⁴, drawing on investment teams not only in global financial hubs like London but also other European countries. “We deploy client capital into local products,” Osta declares, adding that proximity matters for sourcing opportunities and supporting first-time investors.

Europe is a core market for BlackRock’s private market business. Innovation and fund design are key to its strategy to build private market offerings more accessible. BlackRock has deployed about €70 billion into European projects⁴, drawing on investment teams not only in global financial hubs like London, but also in other European cities like Paris. “We deploy client capital into local products,” Osta declares, adding that proximity matters for sourcing opportunities and supporting first-time investors.

Europe is a core market for BlackRock’s private market business. Innovation and fund design are key to its strategy to build private market offerings more accessible. BlackRock has deployed about €70 billion into European projects⁴, drawing on investment teams not only in global financial hubs like London but also other European cities like Milan, among others. “We deploy client capital into local products,” Osta declares, adding that proximity matters for sourcing opportunities and supporting first-time investors.

BlackRock has launched two ELTIF 2.0 strategies, expanding its earlier ELTIF 1.0 position⁵. Distribution spans EMEA, with “the strength of ELTIF 2.0 most visible in countries with large pools of customer savings ready to be deployed,” declares Osta. BlackRock is an advocate for disciplined portfolio construction and has the data and technology to support it, including tools such as Aladdin.

BlackRock has launched two ELTIF 2.0 strategies, expanding its earlier ELTIF 1.0 position⁵. Distribution spans EMEA, with “the strength of ELTIF 2.0 most visible in countries with large pools of customer savings ready to be deployed,” declares Osta. Markets such as Italy are revealing a strong appetite for private equity. Clients recognise the underlying companies that BlackRock funds, which assists them connect with the products, he highlights. BlackRock is an advocate for disciplined portfolio construction and has the data and technology to support it, including tools such as Aladdin.

The “education” barrier

Despite the momentum, Osta declares investor education remains a challenge. BlackRock is investing in financial literacy through considered leadership, white papers, research and private markets modules from the BlackRock Investment Academy, including local language versions—efforts he calls “democratising access.”

“Having a product on the shelf does not guarantee success. Staying close to investors does.” He stresses that local presence is essential becautilize BlackRock’s fiduciary role centres on clients’ financial wellbeing.

BlackRock forecasts that portfolios will shift from a 60/40 allocation to approximately 30/50/20, with 20% in private markets. Manager selection is vital. “We necessary a 360-degree view of investor necessarys to deliver the same investment quality as for our largest institutional clients,” Osta declares.

For Europe’s wealth investors, the effects are already visible. With broader tools, better regulation and simpler access, private markets can now take a structural place in portfolios. The foundations of this new era are firmly set.

There is no guarantee that any forecasts created will come to pass. Risk management cannot fully eliminate the risk of investment loss.

^{1 Source: S&P Capital IQ, BlackRock. As of August 19, 2025
2 Source: Preqin Private Markets 2030 data pack. October 2025. Conversion from $ to € as of October 2025
3 Source: 2025 Private Assets in Private Wealth Portfolios, Novantigo Report, August 2025
4 Client capital deployed by BlackRock, GIP and HPS into European assets in infrastructure, private credit, real estateand private equity asset classes between 2020-Q1 2025
5 Source: BlackRock, as at Q1 2025}

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