Private markets are moving at a faster pace, and the industry is broadening its investor base. The next wave of growth will depend on giving investors timely, transparent, and actionable insights to invest with confidence. This shift is changing how firms operate and how they report data.
Expectations are rising for data speed.
Private markets historically operated differently from public markets. Longer reporting cycles, infrequent valuations, and limited visibility were accepted because assets are illiquid and horizons stretch over years. Today, that model is evolving as private markets expand into wealth channels and semi-liquid fund structures gain traction. Investors expect greater visibility, timelier reporting, and more confidence in the information they receive.
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A new study by State Street reflects the growing significance of this challenge. The firm’s fifth annual Private Markets Study, based on a global survey of 480 participants, shows that more than half of European respondents (53 percent) believe reducing Net Asset Value (NAV) production timelines is essential or very important for supporting the distribution of semi-liquid funds through wealth channels. This signals a clear shift in client expectations, as individual investors are accustomed to frequent updates on portfolio performance and asset values. Consequently, asset managers and administrators are under pressure to improve transparency while operating within complex asset classes.
What was once a back-office task is now central to the industry’s growth agenda. The ability to deliver more timely information to investors is increasingly a core part of the value proposition. However, the challenge is not simply producing information faster, but ensuring that information is reliable and trusted.
The survey highlights the scale of this difficulty. In Europe, 70 percent of respondents identified valuation accuracy and anomaly detection as major barriers to shortening NAV production timelines, while 65 percent cited difficulties in producing timely valuations at the individual asset level. Unlike listed securities, many private market assets lack continuously observable market prices, meaning valuations often depend on a mix of financial data, comparable transactions, and expert judgment. As reporting cycles compress, firms must enhance timeliness while maintaining the rigor and controls that underpin investor trust.
Connectivity is emerging as a key priority
The findings also point to a deeper structural issue. Among European respondents, 58 percent reported operational or data gaps among service providers with concerns around data integrity, including accuracy, timeliness, and transparency. Historically, private market ecosystems have been built around specialized providers and disconnected data environments. As the market grows, the limitations of these fragmented environments become more apparent. Managers, administrators, and custodians need to exchange larger volumes of information, and any delays or discrepancies can have a greater impact on investor confidence.
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This is why connectivity is emerging as a key priority. Firms increasingly recognize that improving transparency is not about producing more information, but about creating connected environments where information can flow efficiently across the investment lifecycle. This approach reduces duplication, improves consistency, and supports better decisions.
Private markets are not meant to replicate public markets, but investors do expect more visibility into those assets. The firms that succeed in the next phase of growth will be those that can provide greater transparency and confidence, while recognizing the unique characteristics of private market assets. That requires faster information flows, stronger data quality, and more connected ecosystems across the private markets value chain.
Speed, transparency, and connectivity are central to building investor trust. As private markets continue to broaden their investor base, that trust will become one of the industry’s most valuable assets.
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