Turning a blind eye? In Europe, talk of battening down the hatches for a change in circumstances seems at odds with a lack of appetite for European distressed strategies. “The more you sweat in peacetime, the less you bleed during war.” Turnaround specialist Richard Thomson of RLT Advisory reached for this striking Chinese proverb when…
The growing gap between private credit’s haves and have-nots The top 10 firms have made up half of the capital collected over the past five years. The largest alternative lenders keep raising more money, according to PDI data. Examining the data collected for the PDI 50 – our ranking of the largest fundraisers over the…
When geography is the same Multi-regional and North American funds have taken the top two spots again for regions with most credit funds raised. Investors are going global this year, as funds with multi-regional geographic mandates raised have raised the most money in 2018 at $31.3 billion, or 35.36 percent of the $88.57 billion total,…
The importance of explaining Brexit Brexit makes a majority of LPs nervous about European credit markets, according to a PDI survey. Investors may have had almost two-and-a-half years to process and prepare for the UK’s departure from the EU, but that doesn’t mean they aren’t still wary of the end result, data from a PDI…
Chasing special returns A poll asked our New York Forum audience to name the most promising strategy over the next year. It produced an interesting answer. “Predicting the end of the cycle is very difficult, if not impossible.” So said Cliffwater CEO Stephen Nesbitt in his introductory remarks as day one chair of our New…
Hiding the target Many fund managers are now not revealing how much their vehicle is hoping to raise. Managers may be becoming more secretive as the private credit pool has proliferated, as many now do not reveal fund targets, according to PDI data. A full 30 percent of funds in market have not disclosed their…
More debt funds in market, more questions for investors A large number of vehicles are seeking capital, and fundraising has been strong – but that isn’t a guarantee the boom times will continue. The number of private credit funds in market has been on a steady upward trend, according to PDI data, reflecting the enduring…
Mezzanine debt is subordinate no more After a dip in mezzanine fundraising in 2017, credit managers are hoping limited partner demand for the strategy is strong in 2018 with almost 200 funds in market. Senior debt and distressed debt have been the favoured investment choices for limited partners recently, but those strategies may be fading…
Owning up to Europe’s distressed opportunity Under increasing pressure, banks are starting to offload troubled assets – with Italy leading the way. Like a small child who keeps a broken toy in a clenched fist to hide it from a parent, many European banks have been reluctant to own up to the true value of…
Real estate debt: a blossoming American tradition Investment opportunities for the sector in the US appear to remain strong. Real estate debt fundraising by region – where a firm plans to deploy capital rather than where the vehicle’s investors are – has fluctuated over the past four years, but one constant has been the rise…