“The liquidity cycle is a key strand” running through the 2026 Global Private Equity Outlook (Report), observed Dechert partner Maria Tan Pederson during a webinar discussing the findings of the eighth annual PE industry study conducted by Dechert and Mergermarket. Fundraising continues to be hampered by the challenging environment for portfolio company exits, which has resulted in fewer distributions to investors – and, thus, less money for investors to reinvest. This article discusses the key findings in the Report, including the portions therein devoted to high-level industry and regional issues; co‑investments; fund finance and alternative liquidity solutions; and the growing role of private credit in PE financing solutions. The results in the Report are supplemented by associated insights from the Dechert webinar, which featured Dechert partners and PE sponsors. See “Dechert and Mergermarket 2025 PE Outlook: Ongoing Fundraising and Liquidity Challenges” (Feb. 6, 2025).