Global asset markets have continued to expand strongly in 2026 reaching a record $308.5 trillion at the beginning of September 2026, up $24.6 trillion since the turn of the year. But the gains have been increasingly uneven. Listed equities have been the standout performer, rising by $19.2 trillion, or 14.0%, to a record $156.7 trillion by the end of August 2026. The rally has been broad geographically, led by Asia-Pacific and North America, and supported by unusually strong corporate earnings as well as IPO activity. In the U.S., 86% of S&P 500 companies beat second-quarter earnings expectations, helping markets absorb discount rates that remain far above those of the previous cycle.
Debt markets have also reached record size, although for very different reasons. Sovereign debt outstanding has risen 5.2% and corporate debt 2.6%, driven principally by heavy issuance as governments finance persistent deficits and companies raise capital for investment. The stock of debt is increasing faster than its market value – which topped $137 trillion in September across government and corporate segments - as higher yields have pushed down bond prices.
Private markets have expanded much more modestly, though each asset class has reached a new record. We estimate private equity AUM rose 4.3% to $10.46 trillion between January and September 2026, reflecting more subdued portfolio returns, restrained deployment and continued fund inflows – our model does not predict anything approaching the re-rating seen in public equities this year. Private credit has grown 2.5% to $1.38 trillion, while private real estate has edged up just 1.1% to $1.51 trillion. Infrastructure has been stronger, rising 4.3% to $1.40 trillion, supported by continued demand for energy, digital and data-centre investment.
The defining feature of 2026 is divergence across asset classes and between public and private markets. Public equities have continued to reprice rapidly upwards, while private markets have moved more slowly. Bond yields are high and markets volatile, pressuring bond prices. How long that divergence can persist will depend heavily on whether strong earnings growth continues to offset the pressure from higher long-term yields.