Private Debt Management Fees Both mean and median management fees for private debt funds have been moving down since the highs for vintage 2013 funds, with the average management fees falling to a 10-year low among 2017 vintage funds. The mean investment fee for 2017 vehicles has dropped to 1.52%, while the median fee has…
Private Debt Deals Completed in Q3 2017 The private debt industry saw 217 deals recorded in Q3 2017, worth $16.9bn This brings Q1-Q3 2017 total private debt deal activity to 580 deals completed, worth an aggregate $83.2bn. In contrast to Q3, Q2 saw 215 private debt deals, which had an aggregate worth of $45.3n. While…
Direct Lending Sees Record Fundraising Private debt fund managers have experienced increased fundraising success, and the direct lending industry has especially benefitted from high levels of fundraising activity in recent years. Direct lending has already seen record fundraising levels in 2017, and aggregate capital raised in the year has already surpassed the capital raised in…
US-Focused Mezzanine Funds After a record year for US-focused mezzanine fundraising in 2016, 2017 has seen a significant slowdown. In fact, 2016 saw 31 funds secure $28bn in capital, surpassing the previous record levels seen in 2008 when 23 funds closed on $24bn. Following the Global Financial Crisis, 2009 saw a record low in fundraising…
Asia-Focused Distressed Debt Fundraising Over the past ten years, 26 Asia-focused distressed debt funds have closed, securing $7.8bn. Of those funds, just 13 had a focus on India or China, which raised $4.4bn. Seven of those vehicles were India-focused, while five were China-focused. However, 2015 and 2016 saw a jump in India- and China-focused fundraising,…
Direct Lending Drives Private Debt Performance Preqin’s latest review of private debt fund performance finds that direct lending funds have been the driving force behind the asset class posting strong recent returns. The strategy has posted horizon IRRs of 15.9% in the year to the end of 2016, significantly higher than any other fund type….
Private Debt Dry Powder Reaches New Record The capital available to be deployed by private debt fund managers has reached a new record in October 2017, peaking at $226bn. This is in part due to record fundraising in Q4 2016, followed by robust quarterly fundraising in 2017 so far – over the 12 months to…
Private Debt Fundraising in Q3 by Fund Type In Q3 2017, 25 private debt funds closed, securing an aggregate $20bn in capital. Of these, direct lending represented the largest proportion of private debt fundraising, with 10 direct lending funds securing an aggregate $6.7bn. This is a decrease from last quarter when 14 direct lending funds…
Asia-Focused Private Debt Fundraising Picks Up in Q3 2017 Private debt fundraising saw continued momentum in Q3 2017, with 25 funds reaching a final close and securing a total of $20bn in investor commitments. This is largely on par with fundraising activity seen in Q2 when 32 funds closed and raised a little under $20bn….
Private Debt Investors’ Plans for the Next 12 Months The large majority of investors surveyed by Preqin in June 2017 are satisfied with private debt: 80% report that their portfolios have met expectations over the past 12 months. However, the proportion of investors who expect to decrease capital commitments to the asset class in the…