BlackRock identifies a new regime of market turbulence driving capital toward private markets. The shift reflects investor fatigue with public market instability and a search for better long-term returns in less volatile assets.

Clients across Europe, Middle East and Africa are rapidly reallocating portfolios into private equity, real estate and infrastructure deals. This migration mirrors trends already visible in North America, where pension funds and insurers have led similar moves.

The firm expects this reallocation to accelerate as traditional market volatility persists. Institutional investors are seeking assets with more predictable cash flows and longer holding periods, favoring stability over short-term liquidity in uncertain times.