PE carveouts on the rise Download PitchBook’s Report here. Activists, shareholders and corporate boards are all increasingly vocal about focusing on core investments, which often translates into selling off non-core assets. Not every PEG is experienced in carveouts, which are riskier and more challenging than standard buyouts. But for investors who have done them in the…
Direct lending is popular – and thus bucks the trend A new survey shows the strategy retaining a strong level of demand, while other areas of private debt lose their allure. They still can’t get enough. Ever since the global financial crisis, the theme of direct lending has gathered pace – and also gathered increasing…
Credit Hedge Funds See Negative Returns in October The Preqin All-Strategies Hedge Fund benchmark returned -2.35% in October, as the industry faced a particularly volatile month on equities markets. This was in fact, the lowest monthly performance recorded by the benchmark since January 2016. It takes overall hedge fund performance in 2018 year-to-date into negative…
Opening the books to investors In a survey from sister publication pfm, the number of managers trying “very hard” not to disclose a deficiency uncovered via a routine exam by regulators increased by 7%. Perhaps the only thing worse than a realised credit loss for alternative lenders is when the Securities and Exchange Commission comes…
US M&A loan issuance continues at a healthy pace this quarter At around the halfway point in the quarter, US M&A activity has remained busy. Through November 14, there has been US$71bn in completed leveraged M&A issuance and US$10.6bn in completed non-leveraged M&A issuance…. Login to Read More...
Is the middle market at an inflection point? Download PitchBook’s Report here. Much has been said on the consistent strength of the US middle market—much of it by us. Commenting as a data provider, we’ve found it tricky to creatively analyze the middle market without repeating ourselves. That said, there are a few unique ways to…
Europe-Focused Private Debt Assets under Management Reach $200bn The European private debt universe has exploded over the last decade, and funds focused on the region now hold $200bn in assets under management. Europe has been a key area of interest for investors in private debt. In fact, almost half (47%) of private investors surveyed by…
When market makers start sending runs based on nation states rather than sectors it may be a harbinger of fundamental change in how European credit is traded. That is precisely what we are seeing as the Brexit process descended into chaos. A number of UK cabinet members have resigned in protest at Theresa May’s draft…
Combined AUM surpassed $750bn for U.S. CLOs and retail loan funds CLOs manage roughly half of current institutional loan outstandings with retail loan funds managing an additional 14%. Their respective shares have been steady, hovering around these levels since mid-2015 when CLOs first reached a 50% share of outstandings. Meanwhile, the pie has certainly grown…
Why the secondaries surge? Download PitchBook’s Report here. Secondaries fundraising continues apace, gathering another $26.3 billion through early Q4. That puts 2018 slightly behind last year’s record, but this year will still mark a third consecutive year with strong numbers. As a strategy, secondaries have garnered attention recently—buy-side LPs are pushing for PE exposure at the…