Many direct lenders only finance businesses backed by private equity sponsors. While non-sponsored strategies have benefits, the presence of an owner with its own track record, industry experience, and deal sourcing prowess, gives relationship lenders distinct advantages… ▶︎ Read June 27 2022 newsletter: here ▶︎ Chart of the Week: here (by Lincoln International, S&P Capital […]
“What’s the key portfolio strategy managers should employ for success?” “Diversify!” That’s how one top PM answered our question. There are many levels and measures of diversity. You don’t want to be stuck with large exposures in any one industry, no matter how resilient it may seem… ▶︎ Read June 20 2022 newsletter: here ▶︎ […]
What makes for successful portfolio construction in private credit? The issue carries more urgency amid current public market turmoil. Leveraged loans will always be in a non-investment grade risk bucket. Middle market loans, being less leveraged and covenanted, are a more conservative play, but recessions will always test borrowers no matter how creditworthy… ▶︎ Read […]
As the oldest living person on Earth until her passing last month, #KaneTanaka was born a year before the Wright Brothers’ historic first flight at Kitty Hawk. Her secret to a long life? “Being myself.”… ▶︎ Read JUNE 6 2022 newsletter: here ▶︎ Chart of the Week: here (by Bloomberg, UBS (courtesy The Daily Shot)) […]
The old Naval Air Station in Charlestown, RI was right next to the summer house we lived in as kids. Aviators would fly training patterns over our heads, circle back to the airfield, touch wheels down, and head around again… ▶︎ Read May 30 2022 newsletter: here ▶︎ Chart of the Week: here (by Natixis, […]
Last month the FDA began a formal investigation into complaints that eating Lucky Charms was making people sick. On iwaspoisoned.com, a social media forum, thousands reported serious stomach problems after eating the popular cereal… ▶︎ Read May 23 2022 newsletter: here ▶︎ Chart of the Week: here (by Numera Analytics) (Any “forward-looking” information may include, […]
We wrap up our special series by examining how private credit integrates ESG into its various strategies. While credit managers are typically not involved in the direct management of businesses they finance, impact investing is an exception. According to a recent PDI article, private debt represents 34% of all impact investing AUM, with real assets […]
Traditionally ESG resided in public equities given shareholder’s ability to change corporate behavior. But more sophisticated tools would be needed to track ESG compliance and opportunities. ESG integration describes how investors incorporate all aspects of environmental, social and governance in their risk analysis of a business or manager… ▶︎ Read May 9 2022 newsletter: here […]
So far in this special series we’ve outlined the history of the ESG movement, its complexities and challenges, and current themes in climate and social change, and governance. Compelling dynamics are behind ESG, but organizing or regulating it goes beyond borders and jurisdictions… ▶︎ Read May 2 2022 newsletter: here ▶︎ Chart of the Week: […]
Now we come to the G in ESG. The governance link to environmental and social goals was cemented by the sub-prime debacle in 2009. Corporate malfeasance and lack of transparency propelled the need to identify future responsible ESG parties and enforcement… ▶︎ Read Apr 25 2022 newsletter: here ▶︎ Chart of the Week: here (by […]