Trends

What $251B in Allocator Mandates Reveals About Alternatives in 2025

How allocators deployed $251B into alternatives in the year to June 2025 – reshaping access, strategy, and data use in private markets.

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Institutional investors have spent much of the past year navigating shifting policies, frozen exits, and volatile markets – yet capital kept flowing, reaching record levels.
The AW Investor Compendium 2025, produced in collaboration with Alternatives Watch, looks at how allocators continue to deploy at record levels and adapt their strategies through data, collaboration, and technology.

In the year to June 2025, allocators deployed a record $251 billion into alternative assets – the highest total on record and a clear signal that institutional investors remain committed to alternatives, particularly illiquid strategies, even in uncertain conditions.

Behind the headline figure, investors are reshaping how they access private markets. Co-investments and secondary transactions are accelerating, liquidity management is tightening, and data is playing a growing role in due diligence. This year’s compendium captures that shift – from passive exposure to active strategy, where allocators balance long-term opportunity with near-term risk.

Key insights:

  • Private market momentum: Global private market mandates rose 22% year-on-year to $210B across private equity, credit, real estate, infrastructure, and hedge funds.
  • Allocators rethink access: Co-investments and secondaries are reshaping portfolio construction and liquidity management.
  • Credit in focus: Allocations to credit climbed 62% from 2023 as institutional investors diversified beyond direct lending.
  • Infrastructure and real assets: Capital continues to flow toward AI-driven data centers and renewable energy.
  • AI adoption: AI and structured data are beginning to influence how allocators evaluate managers and manage risk.

Download the report to discover:

  • Which allocators and managers deployed the most capital
  • How credit, real estate, and infrastructure strategies are evolving
  • The impact of AI and data-first approaches on institutional due diligence
  • Regional perspectives from North America, the Middle East, and beyond
  • Quantitative rankings and analysis across major asset classes

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