Europe’s appetite for private credit is on the rise, according to S&P Global’s 2026 outlook, with 9M 2025 fundraising by funds in the region overtaking American counterparts.
The report, published by S&P Global’s With Intelligence, found that private credit fundraising reached US$66 billion in Europe over the first nine months of 2025 – a 17% increase from full-year 2024. European funds accounted for 35% of global private debt fundraising, up 24% year-on-year.
This included two ‘mega-funds’ of more than €10 billion, With Intelligence notes: from CVC European Direct Lending (€10.4bn) and Ares Capital Europe (€17.1bn)
At the same time, North America-specific funds raised US$52 billion and represented 24% of the global total – around half of what they held the year prior. Multi-region funds raised US$70 billion, taking 37% of the pie.
S&P Global’s With Intelligence expects European activity to keep growing.
“Europe’s increase is unlikely to be a flash in the pan, but rather a sign of a longer-term structural shift in the continent’s capital markets,” the report says, noting that US limited partners (LPs) are attracted to the diverse nature of the markets and reduced tech exposure concentration.
Evergreen structures continue to grow in popularity, with US$644 billion held in such funds in the first half of 2025 – up 28% from year-end 2024. The bulk of this is held in private wealth-focused ‘40 Act vehicles, which manage close to US$600 billion.
The increased presence of private wealth in private credit vehicles will mean changes for the LP market, With Intelligence says. On the regulatory side, In Europe, a wider range of assets are eligible for inclusion in European Long Term Investment Funds (ELTIFs), and private credit ELTIF appetite has surged. In the US, private credit managers can now sell to the defined contribution pension market.
These changes potentially push the LP focus towards individuals rather than institutions, the report noted.
“Asset managers’ continued push to expand their investor base – particularly targeting the insurance and private wealth channels – will have significant implications for fund structuring and the long-term balance of power between general partners and LPs.”
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