$1+ billion
A unicorn is a venture capital-backed company valued at $1 billion or more.
2 min read
Unicorns and the Growth of Private Markets
The rise of highly valued startups is reshaping global private markets, driving innovation, and redefining investment opportunities.
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?
1,400+
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
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.
