The Private Debt Market Continues to Grow The private debt industry has seen the growth in its AUM accelerate in recent years, and by December 2019 (our latest data available) funds held a total of $854bn in assets under management (AUM). The market is now more than three times bigger than it was ten years

Private Debt Performance Remains Positive Horizon IRRs for the overall private debt asset class remains above 6% for one-, three- and five-year horizon to December 2019, oscillating between 6.1% and 6.5%. Direct lending funds improved over the past quarter, contrasting with the overall private debt asset class....

Private Debt Fundraising in Q2 The outlook for private debt is slightly more promising at the midpoint of the year. A total of $34bn was raised over Q2 from 49 private debt funds closed, which compares with 36 funds securing $22bn in the first quarter of 2020. What’s more, an increasing number of funds are

Private Debt Investors are Planning Commitments to Fewer But Larger Funds Diversification and uncorrelated returns are the main reasons why investors allocate to private debt, and they are continuing to plan commitments in this period of uncertainty. Based on Preqin’s fund search data, it seems though, that private debt investors are adapting their strategy as

Crisis-vintage Funds Outperform in Europe European private debt is facing its first major test due to COVID-19. In the middle of a new crisis it’s inevitable to look back and see how it might evolve in future. The private debt industry in Europe emerged following the 2008-2009 Global Financial Crisis (GFC)...

Distressed Debt Funds are on the Raise The private debt market is very crowded and, although direct lending funds represent the largest proportion, distressed debt funds have reached new records. There are currently 60 distressed debt funds in market looking to raise capital, seeking for a combined $72bn in capital....

The Private Debt Market Remains Crowded The private debt market remains crowded amid COVID-19. As at 15th of June there are 485 funds in market seeking a combined $247bn. The number of funds in market is slightly up from the start of the year, but the amount targeted has increased a 22%. At the beginning

First-Time Fundraising Falls in 2020 Over the last six years, private debt first-time fundraising has been stable. Around 50 funds have reached a final close each year, securing an average of $10.5bn. But seems that the pandemic is affecting to first-time fund managers in the private debt industry and fundraising figures have decreased sharply....

How Has COVID-19 Impacted Private Debt in Europe? Private debt fundraising has impacted differently in the markets of Europe than in Asia or North America. While in the last two regions fundraising declined in Q1 2020, Europe-focused private debt fundraising augmented, and Q2 seems to be decreasing....

Has Asia-Focused Private Debt Been Impacted by COVID-19? The Asian private debt market is still relatively small, and expansion has been slower than in the more developed regions of Europe and North America. The region has yet to reach a ‘critical mass’, so activity remains cyclical. Has there been a significant change amid the pandemic