What Has Private Equity Done to Small-Cap Stocks?

May 21, 2025 | Hayley McCollum, Senior Research Analyst, Catherine Hillier, Senior Research Analyst

Private markets have grown exponentially over the last two decades, driven by attractive long-term returns, diversification benefits, and early-stage value creation. As companies stay private longer, much of their initial growth can be realized outside of public markets, which could challenge the small-cap premium and contribute to a shift in the composition of public markets. The following newsletter examines this dynamic and potential impact on small-cap stocks.

Read > What Has Private Equity Done to Small-Cap Stocks?

Hayley McCollum
Senior Research Analyst

Get to Know Hayley

Catherine Hillier
Senior Research Analyst

Get to Know Catherine

The opinions expressed herein are those of Marquette Associates, Inc. (“Marquette”), and are subject to change without notice. This material is not financial advice or an offer to purchase or sell any product. Marquette reserves the right to modify its current investment strategies and techniques based on changing market dynamics or client needs.

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