The global secondaries market has experienced remarkable expansion in recent years. However, Asia has seen comparatively subdued deal activity, as investors have navigated the lingering effects of the Covid-19 pandemic, ongoing economic challenges, and the uncertain impact of tariffs.
Despite these headwinds, several indicators suggest that secondary deal activity in Asia is set to increase. On the LP-led side, an increasing number of Asian sellers have entered the market this year, a trend likely to accelerate as regional investment programs continue to mature.
Many Asian LPs began investing in private equity only within the past decade. As these programs reach maturity, it is expected that Asian institutions will adopt more programmatic approaches to selling, mirroring practices established by their counterparts in North America and Europe.
This maturation should drive continued growth in tail-end sales, as well as more frequent portfolio rebalancing and opportunistic sales of fund interests by Asian investors. Additionally, the GP-led segment of the Asian secondaries market is expected to expand.
The GP-led segment of the Asian secondaries market is also gaining traction. Private equity deal flow within Asia has remained relatively subdued in 2025, with sponsors continuing to face challenges in exiting older investments. This persistent exit environment is prompting a rise in GP-led transactions, as sponsors seek alternative ways to provide liquidity to investors.
While the market is still in the early stages of this evolution, the ongoing difficulties in achieving traditional exits suggest that GP-led deals will become increasingly prevalent in the months ahead. Overall, the outlook for Asian secondaries is one of growth and diversification, as both LPs and GPs adapt to changing market conditions and investor needs.
