Early 2026 Activity Points to Ongoing Opportunity in Secondaries, Says Elm Capital

What Happened Coverage from AltAssets , citing Elm Capital, argues that transaction flow early in 2026 continues to support an attractive opportunity set in secondaries. Rather than cooling after a strong prior year, the market appears to be sustaining momentum across both portfolio trades and more bespoke liquidity solutions. That matters because secondaries thrive when sellers have real motivations and buyers can still find mispricing or complexity premia. The current market appears to have both. The Current Setup More sellers are proactively managing portfolio construction Buyers are seeing broader deal flow across LP-led and GP-led transactions Liquidity demand remains elevated despite improving sentiment in parts of private markets What Investors Should Watch The most important question is not whether activity is healthy, but where the best risk-adjusted opportunities sit. In today’s market, buyers are increasingly distinguishing between diversified LP portfolios, concentrated venture exposure, single-asset continuation vehicles, and highly structured transactions where underwriting complexity can create edge. Secondaries continue to function as the market’s practical answer to delayed exits and uneven realization timelines. Why This Matters for Private Markets For private market participants, sustained secondary activity is a sign that liquidity pressure has not disappeared even as sentiment improves. That creates continued opportunity for specialist buyers, while giving sellers more strategic pathways to manage pacing, concentration, and duration risk without waiting for a fully reopened exit market.