This article was originally published by Private Equity International (BNP Paribas: How private markets growth is reshaping the role of COO)
How are private equity COOs adapting to the rapidly evolving landscape in 2025? What are the biggest influences on their role, and how are their priorities shifting?
- Explosion in fund structures: over the last decade, private markets managers have moved from simple closed‑end/master‑feeder funds to a greater level of complexity, which brings much more complexity in fund accounting. COOs need the right teams and infrastructure to manage this
- New asset classes add workload – now, managers must track a far higher volume of fund flows, intensifying operational demands.
- Technology‑first operating model – COOs are focussing on increasing their digitalisation to manage this workload, and often working with an outsourcing partner to bring economies of scale
- Evolving skill set of the COO – to accompany this technological transformation, leaders now need strong technology expertise, skill at managing relationships with external providers and platforms, and greater accountability for oversight of external providers
- Enhancing customer experience for a changing investor base – as private markets open out to private wealth and retail investors, COOs have a vital role creating an operating model that caters for these newer audiences
The CFO and COO role will continue to evolve from a finance-focused position into a broader role requiring a mix of fund structuring knowledge, technology expertise and skills for managing multiple external supplier relationships.
