Unicorns and the Growth of Private Markets | Morningstar

19 February 2026

The rise of private markets has been one of the most significant developments in capital markets in recent years.

One mark of this rapid growth is captured in the burgeoning number of unicorns.

Beyond a measure of valuation, unicorns embody the innovation within—and investment potential of—the venture ecosystem.

What Is a Unicorn?

$1+ billion

A unicorn is a venture capital-backed company valued at $1 billion or more.

1,400+

Number of unicorns globally

$5.2 trillion

Approximate total value of unicorns

The Growth of Unicorns

Source: PitchBook, Morningstar Indexes. Data as of December 2025.

Unicorn Valuations

Source: PitchBook, Morningstar Indexes. Data as of December 2025.

Unicorns Aren’t Just a Silicon Valley Phenomenon

While the US continues to be the primary home for unicorns, other countries have seen phenomenal growth in recent years. China and India lead the charge, representing 20% of unicorns by count. European countries are also on the rise with a 12% share.

Number of Unicorns by Region

unicorn-regional-breakdown-map@2x.png

Source: PitchBook, Morningstar Indexes. Data as of December 2025.

Some of the Largest Companies in the World Are Unicorns

Source: Morningstar Direct. Data as of Dec. 31, 2025.

Companies Are Staying Private Longer

Private companies are taking longer to go public, with the median age increasing from 6.9 years in 2014 to 11 years today. Record funding, regulatory changes, and non-traditional investors are driving this trend.

Source: PitchBook, Morningstar Indexes. Data as of December 2025.

A Window Into the Innovation Economy

Unicorns play an important role in shaping today's investment landscape. The Morningstar PitchBook Global Unicorn Indexes are designed to bring transparency to this segment of capital markets and provide valuable insights into the drivers of future economic growth.

Performance of Global Unicorns Compared to the Global Equity Market

Source: PitchBook, Morningstar Indexes. Data as of December 2025.

Explore our range of private market indexes to gain a more complete picture of capital markets.

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