2026 BDO Private Equity Survey – Reimagining the PE Playbook

Private equity was supposed to have its comeback year in 2026 – record-level dry powder, a backlog of exits, and megadeals pointing to a recovery. Instead, the first half of the year broke that promise: inflation and interest-rate risks returned, AI disruption rattled the Software sector, and record-high public markets widened the valuation gap between buyers and sellers.

The result? Firms are sitting on highly leveraged assets acquired at peak valuations, hold periods are stretching, and LPs are demanding returns that the exit market won't deliver. In this whitepaper – based on BDO's 2026 Private Equity Survey of 400 U.S. PE leaders – we reveal how the industry's winners are adapting: deploying capital in a fiercely competitive deal landscape, partnering with sellers instead of just bidding, and rewriting growth stories with AI-driven analysis to survive PE's new operating paradigm.