Capital Markets

Equity, debt and private capital markets: valuations, spreads, private credit and investor appetite across asset classes.

Macro & Rates · M&A Trends · Sector Intelligence · Deal Mechanics

23 articles

• The $86bn Listing That Reopened the Window — and the 50% Drawdown That Followed — SpaceX priced the largest IPO in history at $135 a share on 11 June 2026, raising around $86bn at a $1.77trn valuation and lifting Americas IPO proceeds to $194bn in the first half against $62bn a year earlier. By late July the shares were down roughly 50% from their post-listing peak. Both facts matter.
• Three Record Months in a Row: $1.49trn of Investment-Grade Supply and the AI Borrowing Binge Behind It — US investment-grade issuance approached $150bn in August 2026, the third consecutive all-time monthly high, taking the year to roughly $1.49trn — up 37%. Around $350bn of that is AI-related, with $200bn from six hyperscalers alone. Tech is 19% of supply but 38% of everything issued beyond ten years.
• Two Economies, One Price: Records in Equities, Multi-Decade Tights in Credit, 2007 Highs in Yields — The S&P 500 set a record on 13 August 2026, returned 2.7% for the month and sat just 2.07% below that high on 21 September despite two rate hikes and $100 oil. Credit spreads remain near multi-decade tights. Three asset classes are pricing three different macro scenarios, and only one can be right.
• Fewer, Bigger, Bolder: IPO Proceeds Up 155% in 2026 as Biotech Reopens the Window — US IPO count is down 23% year-to-date but proceeds are up 155% to roughly $28.3bn, and early August brought a flurry of biotech listings. The equity window is open — but only for scale, and only for issuers that can price against a public comparable rather than a private mark.
• From Recalibration to Opportunity: Why Q2 2026 Is the Best Entry Point for Private Equity in Three Years — KPMG, Schroders Capital and PwC converge on a single message for Q2 2026: deal volumes softened on geopolitical shock but values stayed resilient, exits are reopening, and entry multiples are at a three-year low. For disciplined sponsors and LPs, the entry window is now.
• Global Equities Under Pressure: How Iran Tensions Are Reshaping Stock Market Scenarios — The Iran conflict has triggered a broad de-risking across global equity markets. With the S&P 500 down 8%, European indices under pressure and emerging market outflows accelerating, portfolio managers face a complex risk-reward landscape across sectors and geographies.
• Post-Ceasefire Market Rally: Rotation, Recovery and Remaining Risks — The Iran ceasefire triggered a sharp equity rally with aggressive sector rotation. Cyclicals and airlines surged while defensive plays gave back gains. However, tariff uncertainty and sticky inflation keep strategists cautious on the medium-term outlook.
• Gold at $2,400: The New Floor for the Ultimate Safe Haven — Gold surged to $2,450/oz during the Iran crisis and has settled near $2,380 post-ceasefire. Central bank purchases, de-dollarization trends, and persistent geopolitical risk suggest a structural floor above $2,300.
• Private Credit's European Expansion: Reshaping Mid-Market Financing — European private credit AUM surpassed €400 billion in early 2026, fundamentally altering the financing landscape for mid-market transactions and providing alternatives to traditional bank lending.
• Private Credit's Takeover: $2.1T Asset Class Reshaping LBO Financing — Private credit has grown to $2.1 trillion, now financing 75% of middle-market LBOs. This structural shift from bank-led to direct lending is permanently altering deal economics, covenants, and execution speed.
• Private Equity's $2.8T Dry Powder Problem: Deployment Pressure and LP Impatience — Record PE dry powder of $2.8 trillion is creating unprecedented deployment pressure. LPs demand distributions while GPs face elevated valuations and uncertain exit markets.
• Middle East Sovereign Wealth Funds Reshape Global Deal Flow: $180B Deployed in 2025 — Gulf sovereign wealth funds deployed a record $180B in 2025, aggressively expanding into European sports, U.S. tech, and global infrastructure. Their growing influence is redefining the competitive landscape for deal-making.
• The IPO Window Reopens: 2026's $180B Pipeline and What It Means for PE Exits — After two years of subdued activity, the global IPO market is surging with a $180B pipeline, offering PE sponsors long-awaited exit routes and reshaping public market valuations.
• Private Credit's $2.1T Market: Direct Lenders Are Now the LBO Banks — Private credit has surpassed $2.1 trillion in AUM, with direct lenders now financing over 85% of mid-market LBOs. The sector is maturing but faces growing scrutiny on credit quality.
• European Mid-Market M&A: Hidden Gems and Emerging Opportunities — The European mid-market offers compelling valuations and succession-driven deal flow. Family business transitions are creating unprecedented opportunities for sophisticated investors.
• Sovereign Wealth Funds: Reshaping Global M&A Dynamics — Sovereign wealth funds have become dominant forces in global M&A, deploying $180B+ annually. Their long-term perspective and scale reshape transaction dynamics across sectors.
• Restructuring and Distressed M&A: Opportunities in a Transitioning Credit Cycle — Rising defaults and refinancing challenges are creating a growing opportunity set for distressed investors. Real estate and leveraged credits are leading areas of stress.
• GP-Led Secondaries Hit $140B: The Liquidity Solution Reshaping Private Markets — The secondaries market is booming at $140B in volume, with GP-led continuation vehicles now representing 55% of all transactions as sponsors seek creative liquidity solutions.
• Infrastructure Debt Hits Record $450B: The New Safe Haven for Institutional Capital — Infrastructure debt fundraising has reached $450B globally, driven by institutional demand for inflation-protected yield and the global energy transition investment wave.
• Private Credit Expansion: Reshaping Mid-Market Transaction Financing — Private credit has emerged as the dominant financing source for mid-market LBOs, with $1.7T+ AUM and growing. Understanding this shift is critical for deal execution.
• PE Exit Markets: Recovery Signals and Implications for Portfolio Monetization — After two years of subdued activity, PE exit markets show signs of recovery. Strategic buyers and continuation vehicles lead the revival.
• High-Yield Markets: Spread Compression and LBO Financing Implications — High-yield bond spreads have tightened significantly, improving conditions for leveraged buyout financing. Understanding credit market dynamics is essential for optimal deal structuring.
• IPO Market Evolution: Windows of Opportunity and Strategic Alternatives — The IPO market has selectively reopened, with quality companies finding receptive investors. Understanding the evolving landscape is crucial for exit planning.