Look Forward | Episode 31: Partner Perspectives: Inside the Forces Driving Resilience and Expansion in Private Markets

In this premiere episode of Partner Perspectives, a special miniseries within the Look Forward podcast, host Molly Mintz examines how private markets are reshaping capital formation, portfolio construction, and long-term investment strategy. Drawing on S&P Global and Vanguard’s joint research, Partner Perspectives: Unlocking Potential Ahead, this conversation explores why companies are staying private longer, how private equity has expanded in scale and influence, and what today’s higher-rate environment means for returns and risk.

Vanguard’s Bill Stout outlines an optimistic but measured view on private equity—emphasizing that disciplined underwriting, operational execution, diversification, and manager selection matter more than ever as the era of easy exits fades.

S&P Global’s Evan Gunter and Ilja Hauerhof discuss private credit’s rapid expansion, the rising trend of manager concentration, and how asset-based finance has emerged as a major growth engine. In addition, they highlight risks that are shaping this market evolution—including liquidity constraints and structural complexity—and explain why greater transparency, standardized reporting, and data-driven insights will be essential to unlocking the next phase of private market growth. 

00:00 Introduction to Partner Perspectives and the future of private markets

02:55 Bill Stout on how capital formation has shifted from public to private markets

05:15 The biggest risks facing private equity in a higher-rate, slower-exit environment

07:25 Public vs. private equity performance, illiquidity premiums, and return dispersion

08:50 Why Vanguard’s outlook for private equity is optimistic but measured

10:55 The case for manager selection and diversification across strategies, vintages, and regions

13:25 What’s next: secondaries, democratized access, and fee compression

16:15 Transition to private credit with Evan Gunter and Ilja Hauerhof

17:45 How private credit evolved after the GFC and why private companies are getting bigger

20:35 Concentration risk and the growing dominance of the top five credit managers

22:45 Asset-based finance, fund finance, and infrastructure as the next frontier

27:35 Key risks in private credit: liquidity, transparency, and complexity

32:35 Why standardized data and clearer reporting are critical for future growth

35:15 Final takeaways and where to find more research from S&P Global and Vanguard

This podcast was authored by a cross-section of representatives from S&P Global and in certain circumstances external guest authors. The views expressed are those of the authors and do not necessarily reflect the views or positions of any entities they represent and are not necessarily reflected in the products and services those entities offer. This research is a publication of S&P Global and does not comment on current or future credit ratings or credit rating methodologies.