Private Equity Investors Return to Asia as China Sentiment Improves
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Global private equity investors are witnessing a broad recovery across Asia, with capital selectively returning to China after a prolonged slump.
The shift comes as large Asia-focused funds are again drawing major commitments, led by Swedish private equity firm EQT’s $15.6 billion Asia buyout fund and Bain Capital’s $10.5 billion sixth Asia fund. Industry leaders discussed the rebound at two major summits in Hong Kong this week.
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- DIGEST HUB
- 2010 to 2021:
- Asian private equity was virtually synonymous with Chinese growth.
- 2024 to 2026:
- In China, general partners resurfaced over the past 12 to 18 months.
- 2026:
- Global private equity investors witness a broad recovery across Asia, with capital selectively returning to China after a prolonged slump.
- 2026:
- Kent Chen maintains a bullish outlook on China, citing attractive valuations and new growth drivers.
- 2026:
- Despite renewed optimism, mature markets like Japan continue to siphon private capital.
- 2026:
- Within China, venture capital is pivoting toward new energy, robotics, and artificial intelligence.
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