A recent survey report from Goldman Sachs Asset Management indicates that private market investors are generally more optimistic about the investment environment and hold higher expectations for liquidity realization through various exit channels.

The findings are based on a new global survey conducted by Goldman Sachs' buy-side division, which polled over 250 general partners (GPs) and limited partners (LPs).

The report highlights resilient sentiment among private market investors, with the most notable uplift in confidence toward real asset strategies. Over the next year, infrastructure and private equity are viewed as the most promising sectors.

Key findings from the survey are summarized below:

**Most Favored Sectors** Private market sentiment remains resilient, with real asset strategies showing the strongest improvement. Investors anticipate consistent or better opportunities in the following sectors over the next year:

- Infrastructure (93%) - Private Equity (82%) - Real Estate (81%) - Private Credit (70%)

Tavis Cannell, Global Head of Infrastructure Investing at Goldman Sachs Asset Management, commented: "Infrastructure is being driven by multiple structural trends, given the massive scale of government and private investment required to upgrade aging assets and build new infrastructure. Broad opportunities exist in areas tied to AI and digitalization, energy production and transmission, shifting global trade patterns, and waste and water systems. The asset class has demonstrated resilience and inflation-hedging capabilities over the past two decades while offering growth potential—particularly in the mid-market, where active ownership and value creation can unlock significant upside."

**Growing Optimism on Liquidity Realization** The survey reveals that GPs still view valuation as the biggest challenge for new investments, with 63% citing it as a key factor.

"Regarding exits, 60% of respondents also identified valuation as the primary hurdle, second only to macroeconomic uncertainty," the report noted.

GPs expect traditional exit paths to expand significantly, particularly strategic sales (80% of surveyed GPs likely to pursue this route, up from 56% in 2024). Sales to financial investors ranked second (70% considering this option, up from 42% in 2024).

Additionally, 63% of GPs believe they are at least somewhat likely to realize liquidity through IPOs in the coming year, compared to just 35% a year ago.

GPs are also diversifying their approaches: 30% now indicate potential use of continuation vehicles, up from less than 20% last year. Overall, the proportion of GPs open to continuation funds rose by 6 percentage points from 2024.

LPs are also more active in managing liquidity via secondary markets to balance asset allocations. Seventeen percent of surveyed LPs reported selling assets in secondaries this year, up from 11% previously.

**Evergreen Structures Gain Institutional Traction** The survey shows evergreen structures are gaining popularity beyond wealth management. Over 30% of institutional LPs surveyed have adopted or are considering evergreen structures for private equity and infrastructure investments.

More than half of these applications target private credit, while over 40% focus on real estate. Meanwhile, over 80% of large GPs currently offer or are exploring evergreen structures, though only a quarter of sub-$10 billion AUM GPs provide them.