Operations Emerge as Key Barrier to Private Equity Exits
A 2026 Vistra survey of 455 private equity professionals finds operational constraints rank alongside geopolitics as a top obstacle to exits.
Updated on Nov. 3, 2026 in Business Strategy
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Vistra Fund Solutions released The Vistra Fund Solutions Private Equity Report 2026, which finds operational constraints rank alongside geopolitics as a leading barrier to exits. The survey covered 455 private equity professionals across North America, Europe, APAC and the Middle East.
Why it matters
Continuation vehicles and secondary sales bring more demanding valuation, reporting and stakeholder requirements, which firms are struggling to meet with their current systems. The findings suggest operational readiness is becoming a determining factor in how private markets managers generate liquidity.
Manual processes consume 33 per cent of operational team capacity on average, and 45 per cent of firms cite technology limitations as a constraint. The survey does not quantify how much these gaps have delayed specific exits or affected realized returns.
The players
Vistra Fund Solutions
Vistra Fund Solutions is a global fund administration and corporate services provider headquartered in Singapore that publishes industry research on private markets.
The details
Vistra surveyed 455 private equity professionals across North America, Europe, APAC and the Middle East, covering firms managing between $100 million and $100 billion in assets. Respondents cited valuation and reporting complexity, technology limitations and rising regulatory obligations as key challenges, while 36 per cent of limited partners are demanding more frequent and granular portfolio reporting.
Timeline
Survey research was conducted between 4 and 11 August 2026.
Vistra published the Private Equity Report 2026 findings on November 3, 2026.
Firms expect continuation vehicles and other liquidity routes to dominate over the next 12 to 24 months.
Market Landscape
Preqin forecasts private markets assets under management will exceed $34 trillion by 2031, a scale that makes operational capacity a binding constraint on growth. Vistra's finding that technology-heavy operational budgets will rise from 18 per cent to 32 per cent over three years signals a sector-wide shift in how managers plan to handle that expansion.
Limited partners are increasingly requesting more frequent and granular portfolio reporting, which may affect the information investors receive about their holdings. Firms still building that reporting capacity may face slower or more costly liquidity events, which can influence the timing of returns.
The takeaway
Operational readiness, including data systems and reporting infrastructure, is becoming as important to private equity exits as market conditions. Investors evaluating managers may find it useful to ask how their reporting and technology capabilities support liquidity plans.
Further reading
For broader context on how firms are reshaping their approach to growth and capital, explore Business Strategy coverage.
Source note: This article includes information reported by Wealthbriefingasia.
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