European Long-Term Investment Funds are a growing sector and now contain €10bn (£8.7bn) in assets, according to research by Morningstar.
Since January 2026, Morningstar analysts have conducted 46 interviews with asset managers and platforms on the topic of LTIFs. In total, the firm counted around 100 evergreen ELTIFs with an estimated size of roughly EUR 10 billion as of December 2025.
There have been 189 new products authorised since 2024. Around half of new fund launches have been in semi-liquid, evergreen structures.
However, transparency remains a challenge within the asset class and many funds are only available via specific distribution channels.
Mara Dobrescu, senior principal at Morningstar, says: “Investors shouldn’t mistake smoother reported returns or infrequent pricing for lower risk. Due diligence on fees, liquidity terms, valuation practices, and return targets is critical, particularly as semi-liquid structures face their first real world tests.”
ELTIF 2.0 has been effective from January 2024, and aims to boost private market access for retail investors. Key changes include lowered entry barriers, flexible investment rules, enabled redemption mechanisms, and easier cross-border marketing.
According to Morningstar, 72 new firms have obtained ELTIF authorisations since 2024. The list includes global private markets firms such as Apollo, Blackstone and Carlyle, and smaller, niche private asset specialists who are venturing into commingled products for the first time.
