Evercore reported more than $120 billion in secondary transaction volume across private assets in the first half of 2026, the largest six-month tally in the firm's history and roughly double the prior peak recorded in H2 2021. The advisory business segment, which accounts for approximately 62% of Evercore's revenue, captured the inflection as general partners and limited partners simultaneously sought liquidity outside traditional fund cycles.

The volume splits into two structural drivers. GP-led continuation funds and single-asset spin-outs accounted for an estimated $75 billion of the total, reflecting sponsor reluctance to sell crown-jewel holdings into compressed public-market valuations. LP-driven secondaries, historically the dominant format, contributed the remaining $45 billion, with wealth-management platforms and insurance allocators replacing traditional pension sellers. Evercore advised on 22 transactions exceeding $1 billion each during the period, compared to 14 in all of 2025.

The shift matters because it changes who pays for liquidity and when. GP-led deals allow sponsors to extend hold periods on appreciated assets while offering partial exits to early investors, effectively creating a private refinancing market that bypasses public equity altogether. LP secondaries, meanwhile, now trade at discounts averaging 6-8% to net asset value, tighter than the 12-15% range that prevailed through 2024, signaling that buyers no longer demand illiquidity premiums at prior levels. Evercore's fee structure captures both: advisory fees on the sell side, placement fees on the buy side, and fairness opinions when independent valuations are required.

The advisory margin expanded 240 basis points year-over-year to 28.4%, driven by higher revenue per senior managing director and lower variable compensation accruals relative to prior quarters. Evercore deployed 11 additional advisory professionals into secondary coverage during Q1 2026, adding capacity in London, Hong Kong, and Menlo Park. The firm disclosed no material increase in direct co-investment alongside clients, maintaining its posture as intermediary rather than principal.

Watch three catalysts before year-end. First, the European Central Bank's September meeting; a 50-basis-point cut would accelerate euro-denominated LP secondaries as valuation marks reset lower. Second, the U.S. Department of Labor's final rule on private-asset concentration limits inside defined-contribution plans, expected in Q4 2026; expanded access would deepen the wealth-channel bid. Third, the maturity wall for $340 billion in private-equity funds reaching the end of their terms in 2027; sponsors will choose between forced sales, continuation vehicles, or term extensions, all of which generate advisory work.

Evercore's secondary desk is now larger by transaction count than its restructuring practice was in 2009.