Key Takeaways
- • Francois Roux, founder of Paris-based advisory firm Roux Capital, argues in a Newsweek opinion piece that U.S. private equity managers treat Europe as a single market and mistake busy roadshows for fundraising progress.
- • According to Aviva Investors' 2026 Private Markets Study, 49 percent of institutional investors plan to increase private markets allocations over the next two years.
- • An IPEM roundtable held in New York in April 2026 found U.S. small and mid-market managers with established European relationships can raise 20 to 40 percent of their capital from the region.
- • French private equity fundraising took an average of 23.6 months in 2025, up from 20.9 months in 2024, according to France Invest and Grant Thornton.
- • Roux recommends leading with realized returns and DPI, targeting mid-sized European investors market by market, and maintaining a senior local presence.
Summary
An opinion piece published by Newsweek by Francois Roux, founder of Roux Capital, contends that American private equity managers are approaching Europe inefficiently by treating it as one market and concentrating on the same large institutional investors. Roux argues that this approach is expensive and self-defeating, even though the opportunity is substantial.
Roux cites several data points supporting the opportunity. According to Aviva Investors' 2026 Private Markets Study, 49 percent of institutional investors plan to increase private markets allocations over the next two years. An IPEM roundtable held in New York in April 2026 highlighted that U.S. small and mid-market managers with established European relationships can raise between 20 and 40 percent of their capital from the region. Per France Invest and Grant Thornton's 2025 study, as highlighted by CFNEWS, French private equity fundraising averaged 23.6 months, up from 20.9 months in 2024.
Roux stresses that Europe comprises distinct markets, including France, Germany, Switzerland, the Netherlands, Italy, and Luxembourg, each with different languages, business cultures, and decision-making processes. He notes that securing a commitment can require five or more investor meetings, and that managers should address regulatory requirements under the Alternative Investment Fund Managers Directive (AIFMD) early, citing the European Commission's guidance that non-European managers must consider appropriate arrangements, including access to an authorized AIFMD where required.
Roux also recommends targeting mid-sized investors, including private pension funds, insurers, mutual societies, and family offices, which can often commit $5 million to $10 million per fund. He cites macro drivers for European interest in U.S. exposure, including IMF projections of about 2.3 percent annual U.S. growth in 2026 and 2027, and Stanford's AI Index 2026 figure of $286 billion in U.S. AI investment in 2025 versus $21 billion in Europe. Because exits remain difficult, he argues investors will prioritize distributions, with DPI weighted more heavily than IRR.
Roux cites several data points supporting the opportunity. According to Aviva Investors' 2026 Private Markets Study, 49 percent of institutional investors plan to increase private markets allocations over the next two years. An IPEM roundtable held in New York in April 2026 highlighted that U.S. small and mid-market managers with established European relationships can raise between 20 and 40 percent of their capital from the region. Per France Invest and Grant Thornton's 2025 study, as highlighted by CFNEWS, French private equity fundraising averaged 23.6 months, up from 20.9 months in 2024.
Roux stresses that Europe comprises distinct markets, including France, Germany, Switzerland, the Netherlands, Italy, and Luxembourg, each with different languages, business cultures, and decision-making processes. He notes that securing a commitment can require five or more investor meetings, and that managers should address regulatory requirements under the Alternative Investment Fund Managers Directive (AIFMD) early, citing the European Commission's guidance that non-European managers must consider appropriate arrangements, including access to an authorized AIFMD where required.
Roux also recommends targeting mid-sized investors, including private pension funds, insurers, mutual societies, and family offices, which can often commit $5 million to $10 million per fund. He cites macro drivers for European interest in U.S. exposure, including IMF projections of about 2.3 percent annual U.S. growth in 2026 and 2027, and Stanford's AI Index 2026 figure of $286 billion in U.S. AI investment in 2025 versus $21 billion in Europe. Because exits remain difficult, he argues investors will prioritize distributions, with DPI weighted more heavily than IRR.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.