A research study by FTSE Russell highlights the accelerating shift of private markets into mainstream portfolios among wealthy US based investors. The 2026 U.S. Wealth Pulse Survey underscores how younger generations, particularly Millennials, are driving this trend with their appetite for higher-risk, longer-term opportunities. While satisfaction with recent returns remains high, caution prevails for the year ahead, and tools like benchmarks alongside professional guidance are emerging as essential enablers for broader adoption.
The survey, conducted among 600 affluent U.S. investors with at least $500,000 in investable assets, reveals that nearly one-third (32%) currently allocate to private markets.
Of these, 61% made their initial entry within the past five years, and 74% commit 10% or more of their portfolios to the asset class.
Millennials stand out sharply: 67% already participate compared to just 30% of Generation X and 11% of Baby Boomers.
Familiarity also skews younger, with 87% of Millennials knowledgeable about private markets versus lower rates among older cohorts. Looking forward, 24% of non-investors plan to enter within the next year, with Millennials comprising 56% of this group.
Affluent investors expressed robust contentment with 2025 portfolio outcomes, with 91% reporting satisfaction—including 47% who were very satisfied. This marks a notable improvement from the previous year.
Advised clients reported even higher enthusiasm, at 50% very satisfied. However, forward-looking sentiment has cooled.
Only 66% anticipate positive performance over the coming six months, down from 76% last year, while 51% feel optimistic about the U.S. stock market (previously 57%).
Views on the broader economy, global conditions, and inflation remain subdued. Younger investors maintain relatively brighter outlooks compared to those nearing retirement.
As private investments gain traction, standardized benchmarks are viewed as vital for demystifying the space and fostering trust.
More than three-quarters (78%) of respondents indicated that benchmarks enhance their comfort level, while 92% deem performance comparisons essential—45% rating them as very important.
This emphasis is strongest among Millennials (62% very important) versus 40% for Gen X and 36% for Boomers.
High return potential draws 67% of investors, yet uncertainty around performance tops barriers at 42%, followed by elevated fees (36%) and complexity (35%).
Many are open to reduced liquidity. Notably, 57% would accept some illiquidity for modestly superior returns.
Among those comfortable with longer lock-ups (five years or more), required annual premiums over public markets vary, with significant portions seeking 5–9%, 10–14%, or even 15%+ uplifts.
Financial advisors serve as the dominant channel, with 77% of current private markets participants accessing investments through them, particularly via wealth managers or private banks (44%).
Direct access or self-directed platforms play secondary roles for about one-third each. Advisor endorsement carries substantial weight: while 55% show baseline interest independently, 89% would commit upon a strong professional recommendation.
Despite this, engagement lags. Nearly half (48%) of advised investors have never discussed private markets with their advisor, and only 26% have engaged in in-depth conversations.
Demand for knowledge is substantial, with 72% eager to learn more, preferring advisor-led education (ranked top-three by 62%). This gap represents a significant opportunity for advisors to equip clients with tailored solutions and insights.
Retirement plans in the workplace could accelerate inclusion. Among participants, 77% would consider private markets options if offered, with 35% indicating they definitely would.
FTSE Russell continues to expand its benchmarking offerings, including daily private market indices and listed alternatives, to support greater transparency and alignment with long-term horizons. The research findings now appear to portray private markets evolving from niche to core allocations, particularly for those with extended timeframes.