LP appetite for tech funds has significantly cooled, with only 8 percent of investors planning to increase their allocations in the first half of 2026, a sharp drop from 25 percent in the latter half of 2025. This sentiment shift is detailed in the Rede Liquidity Index 1H 2026, exclusively obtained by Side Letter.

This trepidation follows the market's reaction to the 'Saaspocalypse,' a period of significant downturn for software-as-a-service companies. The index, compiled by global placement firm Rede Partners, indicates a growing wariness among limited partners regarding the tech sector's prospects.

In other news, EQT is reportedly behind its €20 billion exit target, and CVC is strengthening its presence in the Asia-Pacific region, bolstering its business in the area.