Private equity enters an era of fragmentation

Private equity enters an era of fragmentation

Reflections from the Singapore Venture and Private Capital Association (SVCA) Annual Conference 2026

The geopolitical storm has made landfall, and for the private equity industry in Asia, the wind has shifted decisively. At a macro level, the industry is navigating growing geopolitical volatility and the dissolution of global synchronisation—gone is the era in which trade, monetary policy and capital flowed with friction-free ease. We have entered what Professor Danny Quah described as a “G-minus” landscape, where the architects of the old rules are the first to discard them.

This was among the recurring themes at the SVCA Annual Conference 2026.

While industry fundamentals like manager selection and the alignment of interests remain surprisingly stable, the world outside the boardroom has been upended. Capital now navigates a dense thicket of “security overlayers” and strategic barriers. To build resilient portfolios, investors must transition from a strategy of efficiency to one of resilience, accepting the global order as it is: fragmented, interventionist and fundamentally disruptive. Second-best might actually be best. In the circumstances, anyway. Read more...