The Takeaway
Asset owners are increasing their commitment to private markets. On average, respondents expect private market allocations to rise from 19% of AUM today to 23% within five years, with diversification and return potential serving as the primary drivers.
Artificial Intelligence is moving from experimentation to enterprise-wide adoption. Asset owners see AI's greatest value in improving workflows, expanding access to information, and enhancing data quality, while concerns about valuations, concentration risk, and infrastructure dependency highlight AI's growing influence on investment decision-making.
Inflation and AI have become leading geopolitical considerations. More asset owners view rising inflation (76%) and the evolving AI landscape (71%) as material to investment decisions than geopolitical concerns such as fiscal debt or the Russia-Ukraine war.
ESG remains embedded in investment decision-making, but priorities are evolving. Nearly half of asset owners who incorporate ESG factors say ESG has become more material over the past five years, while attention is shifting toward practical implementation, data quality, stewardship, climate-transition strategies, and emerging AI-related ESG considerations.
Morningstar’s flagship institutional investor survey, formerly known as the Voice of the Asset Owner Survey, marks its fifth year in 2026. Part of the Morningstar Investor Perspectives research series, the study is designed to gauge the pulse of the global asset owner community and better understand the challenges facing institutional asset owners.
The quantitative phase surveyed 504 asset owners representing more than $20 trillion in combined assets in 2026. Respondents were distributed across North America (20%), Europe (40%), and Asia-Pacific (40%). Those surveyed included outsourced chief investment officers, or OCIOs, (21%), family offices (20%), insurance general accounts (19%), pension funds (15%), endowments / foundations (13%), and charitable/religious foundations (10%). Sovereign wealth funds were also represented.
Over one-half of the asset owners surveyed represent institutions managing $1 billion or more in assets (57%), and more than one out of four (26%) manage $10 billion or more in assets.
The 2026 findings show asset owners balancing long-term priorities with immediate market pressures. Sustainability is embedded in investment practice, but inflation, market concentration, geopolitical risk, and the rapid expansion of AI increasingly shape the agenda. Confidence in regulation has softened, while demand is rising for useful, decision-ready data. At the same time, asset owners maintain a generally positive outlook on US markets and view private assets as a potential source of diversification and return.
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