Global Equity Issuance Tops $1 Trillion as AI Megadeals Drive Record Pace

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Summary · why it matters

Global equity capital markets issuance has surpassed $1 trillion through the first nine months of 2026, putting the year on pace to rival the record 2021 period, according to Samuel Kerr, Head of Global Equity Capital Markets and Head of Mergermarket EMEA at ION. Speaking at a fireside chat at Nasdaq MarketSite on Oct. 5, Kerr said AI infrastructure is the dominant force behind the market, with mega-deals involving companies such as Alphabet and SpaceX driving the numbers and technology heavily concentrated at the top. Alphabet's return to the equity market reflects the scale of the AI investment cycle, he said, pointing to the company raising dilutive equity after roughly two decades of returning capital to shareholders as firms invest heavily in computing capacity and AI infrastructure. Kerr noted the U.S. IPO market is beginning to slow as borrowing costs rise, with higher sovereign-debt yields increasing companies' weighted average cost of capital and contributing to IPO postponements, while AI companies face additional liability concerns. He also highlighted emerging liability risks from AI models and suggested that slower AI spending could ultimately help hyperscalers improve profitability while reducing some risks.

Impact on assets 5

Artificial Intelligence▲
Alphabet Inc Class C
GOOG
± MixedCapitalrelevance

Alphabet's return to equity markets with dilutive issuance tied to the AI investment cycle is the article's central example, but the effect on the stock is mixed.

Semiconductors▲
Space Economy▲