Transforming Capital for the Next Era 2025

Three structural shifts are amplifying the importance of private capital markets: –First, the private tilt: allocators continue to increase exposure to private assets, which have often outperformed public markets over the long term. –Second, the retail wave: the expansion of wealth-management platforms and semi-liquid vehicles is bringing individual investors into private markets.3 –Third, public-market concentration: A handful of mega-caps now dominate major indices, elevating crowding and correlation risk and nudging allocators towards private markets for more idiosyncratic returns and diversification.4Together, these shifts mean that private markets are no longer shaped solely by institutions. As high-net-worth individuals gain more direct ways to invest, the great wealth transfer becomes a potential catalyst for change, where capital flows could increasingly mirror who holds the wealth. In this new landscape, who allocates capital matters as much as how much is allocated, making gender parity in decision-making a defining force for the next decade of market evolution. As high-net-worth women start channelling more wealth into PE and VC funds, and start asking for new types of investment opportunities, products, standards and advice, they open up new avenues for a more diverse set of founders. Gender balance in investment is how markets get bigger and more resilient. Transforming women’s ownership into allocator power could strengthen markets in three fundamental ways: –Improved decision-making reflected in stronger performance: When limited partners (LPs) embed inclusion into senior positions, pipelines diversify, diligence quality rises and groupthink recedes – evidence links balanced investing teams to stronger returns and lower risk in the market.5 Similarly, at the general partner (GP) and investment-committee level, more women with true decision rights diversify perspectives, tighten governance and widen the definition of value creation, thereby reducing correlated errors and supporting long- horizon performance.6 –Faster innovation drives stronger operating results: Portfolio companies with diverse boards and executive teams iterate faster to product– market fit, attract stronger senior talent, secure higher-quality follow-on syndicates on better terms and deliver more durable value at exit.7 –System-level resilience across cycles: Broader participation raises start-up and scale-up survival, revenue and job creation and the diffusion of innovation, deepening local economies and producing stronger, more diversified portfolio returns over market.8Allocation decisions are not abstract; they land exactly where tomorrow’s economy is being built, from climate resilience to AI and frontier technology. Who is financed into AI will determine the systems, standards and norms that shape the next generation of innovation. Heterogeneous teams bring a wider range of investable opportunities and fewer blind spots; with near-term capital, women can contribute to setting the rules and governance frameworks that will define the next 30 years. The composition and perspective of decision-makers strongly influence how strategies are shaped, teams are built and opportunities are identified. When the decision-making environment has diversity of experience and insight, these judgements can become self-reinforcing, accelerating the adaptability and performance of both investors and the enterprises they back. At the same time, the growing use of AI in capital allocation adds a new layer to the decision-making stage that warrants attention. Algorithms trained on historical transaction data or limited networks can replicate the preferences and omissions of past decision-makers, systematically narrowing what qualifies as “investable”. Automated screening systems, if unchecked, may discount unconventional or first-time founders – the very innovators markets need most. Without deliberate data diversity and governance standards, the efficiency gains of AI-driven investing risk coming at the cost of allocative efficiency, innovation and long-term competitiveness.1.2 Converting influence into stronger markets Transforming Capital for the Next Era: Gender Parity and the Expansion of the Investable Frontier 7