Private Debt Intelligence - 5/22/2017

US Direct Lending Funds Approach $100bn in AUM The direct lending market in the US has been growing consistently since the Global Financial Crisis (GFC). Given the long-term low-interest environment, many investors have been looking for alternatives to supplement their fixed income investments, which have seen yields remain low. Direct lending, in this context,...

Private Debt Intelligence - 5/15/2017

Private Debt Investment Consultant Outlook In November 2016, Preqin conducted a survey of 49 alternative investment consultants in order to determine their sentiment on the private debt asset class, and their regional, structural and strategic preferences for the coming year. Investment consultants identified direct lending as the most promising private debt fund type heading into

Private Debt Intelligence - 5/8/2017

Private Debt Fund Manager Outlook: H1 2017  A Preqin survey of 73 private debt fund managers conducted in November 2016 finds that private debt fund managers intend to deploy more capital in 2017 than the previous year, despite concerns surrounding an environment of high valuations and stiff competition for investor commitments....

Private Debt Intelligence - 5/1/2017

Private Debt Funds in Market by Geography As at the start of Q2 2017, there were 284 private debt funds in market seeking an aggregate $112bn of investor capital. These figures were roughly the same as they were a year previous, when 260 funds were targeting $123bn globally. Europe was the only region which recorded

Private Debt Intelligence - 4/24/2017

Private Debt Dry Powder by Geographic Focus While fundraising has been strong in recent years, private debt managers are managing to deploy capital at a similar rate to securing commitments from investors. As such, the level of dry powder has remained relatively constant in recent years, but has risen notably since the end of 2012....

Private Debt Intelligence - 4/17/2017

Private Debt Fundraising in Q1 2017 by Fund Type

The private debt industry recorded a strong start to 2017, as 21 vehicles reached a final close attracting $21bn in investor capital, despite marking a downturn from the record $50bn raised in Q4 2016. However not all strategies were able to capitalise on healthy investor appetite and attract high levels of commitments.

Direct lending funds in particular drove fundraising, securing their highest quarterly total of all time...

Private Debt Intelligence - 4/10/2017

Q1 2017 Private Debt Fundraising

After a sluggish start to 2016, private debt fundraising saw a huge acceleration in pace over the year, and secured a record $50bn of investor capital in the final quarter of the year. While the opening quarter of 2017 failed to match this activity, momentum has nonetheless continued into the year with fundraising expected to maintain or increase this pace in the coming months...

Private Debt Intelligence - 4/3/2017

Placement Agents and Private Debt

Placement agents servicing the private debt industry have been expanding their services to keep up with the development of the asset class. In addition to their traditional role of connecting fund managers with suitable investors, placement agents increasingly offer ongoing investor relations assistance, and services to help fund managers comply with regulatory standards...

Private Debt Intelligence - 3/27/2017

First-Time Fund Managers

The environment for first-time private debt managers has begun to stabilise in recent years as the industry continues to mature. Fundraising has been consistently robust, performance has been strong, and investors are increasingly open to the prospect of committing to managers without a proven track record.

First-time private debt managers secured a record total in 2013 ($9.6bn), and in the years 2013-14 firms have raised over $23bn as the market continues to develop....

Private Debt Intelligence - 3/20/2017

Private Debt Fund Performance by Strategy

The private debt asset class has continued to satisfy institutional investors with 93% of those surveyed by Preqin at the end of 2016 stating that the performance of their private debt investments had either met or exceeded expectation. However, performance as measured by the median net IRR of funds varies notably across the three central private debt strategies: direct lending, mezzanine and distressed debt...