For the second year, ILPA has released the results of its Limited Partners Sentiment Survey: 2025-2026 Edition.
About the Initial Release
In the first release of several planned for this data, we lay the foundation, providing an overview of the survey’s LP respondents and their organizations, along with reporting on PE allocations, return assumptions, plans to adjust PE program (across number of managers and check size), staffing levels, negotiations, GP behavior, and co-investments.
In the weeks to come, we will release a series of additional reports to provide greater analysis and deeper insight into LP views across key topics, including shifts in managers, negotiations, conflicts, retail capital, continuation vehicles, and more.
While LPs are not a monolith, the trends that emerge from the first report:
- LPs are at or within target, with allocation expected to stay or grow
- Return expectations remain stable, but more headwinds appear on the horizon
- Programs will likely adjust over the next 12 months
- Negotiations remain a contentious topic for LPs
- GP behavior is worsening in concerning areas
As LPs look to navigate this challenging PE environment with potential for changes to the program and return expectations, there is a need and an opportunity to strengthen LP/GP alignment by addressing key areas for improvement in negotiations, conflicts and interest, governance, and valuations.
