Nomura Capital Management

Our Head of Portfolio Management and Cross Asset Strategies Matt Rowe recently joined an Asset TV U.S. masterclass to discuss how #PrivateCredit is filling the void left behind by #banks as the regulatory environment reshapes the lending landscape. Matt highlighted his view on opportunities in asset-based lending “for high-quality companies with real assets and real healthy businesses” in search of quality partners. He noted private credit can offer attractive terms for these borrowers in need of capital, and this relationship has helped to fuel growth across the sector. During the panel discussion, Matt also highlighted our approach to building a diversified private credit portfolio. Watch here: https://lnkd.in/eEhaRb_U

Matt Rowe, our Head of Portfolio Management and Cross Asset Strategies, recently spoke with Bloomberg ahead of Donald Trump’s announced victory and what his presidency could mean for markets. “It would be a reason to chase that segment of the #market,” he notes, pointing to Trump’s proposed corporate tax rate cut from 21% to 15% – potentially offering a boost to #smallcap companies trading at a discount to larger ones. Read more: https://lnkd.in/eYrJBUhx

"The most concerning thing they have on their mind is the #LaborMarket," says our Head of Portfolio Management Matt Rowe, in a recent conversation with Sarah Hansen of Morningstar. Matt discussed the #FederalReserve’s approach to interest rate policy and noted the challenge they are facing trying to find a balance between its #inflation goals and a stable job market. Read more: https://lnkd.in/eJMeTbJA

We are excited to be sponsoring the upcoming Markets Group 11th Annual Southeast Institutional Forum on November 13th. Come meet our #institutional distribution team members Dan Keating and Michael Benjamin there! For more information on the event, please visit https://lnkd.in/ez4nEWhD

In the 5-year period ending 2019 (the “pre-covid period”), global buyout net distributions averaged $71mm per year. Beginning 2020 through 2023 (the “post covid period”), global buyout net distributions averaged $8mm (i.e. 1/9th of what they were). These delayed monetizations are creating the need for liquidity solutions such as secondaries, NAV loans, and capital solutions on existing assets and portfolios to enable private equity owners to return capital to LPs. Read more on the Macroeconomic Environment in our Q4 Quarterly Market Outlook: https://lnkd.in/eikr-jis

Net Corporate Credit Creation chart illustrates the more difficult environment for borrowers to secure loans. It shows net corporate credit creation encompassing investment grade, high yield, broadly syndicated loans, private credit and bank commercial & industrial loans slowing throughout 2024. Read more on the Macroeconomic Environment in our Q4 Quarterly Market Outlook: https://lnkd.in/eikr-jis

We noted in our Q3 Quarterly Outlook the contraction in the number of FDIC insured commercial banks from the 1980s to present day. We believe this has contributed to a more difficult environment for small to medium enterprises (SMEs) to secure loans from the traditional banking sector. Read more in our Q4 Quarterly Market Outlook: https://lnkd.in/eikr-jis

There are a variety of ways to gain exposure to private ABL with varying risk-return profiles via diversified private funds, interval funds, closed-end funds, and other private credit vehicles (e.g. single transaction special purpose vehicles (“SPVs”), private securitizations). Before being bundled into a pool of assets, the loans are issued as whole, un-tranched components. Learn how Private Asset-Based Lending transactions are different from Public Asset-Backed Securities: https://lnkd.in/e3x2eKpM. #AssetBasedLending #PrivateCredit

We are happy to be a sponsor for this year’s CFA Society New York Annual Celebration! We look forward to connecting with peers across the #InvestmentManagement, #AssetManagement and financial services sectors on October 24 to share invaluable industry knowledge. Find our team during the #CFANY event to chat about credit market trends and more! Register to attend today: https://lnkd.in/eHMtZBiw

Asset TV U.S. Masterclass on #privatecredit for CE credit: Our Head of Portfolio Management and Cross Asset Strategies Matt Rowe recently participated in an Asset TV Masterclass on #privatecredit alongside Brendan McCurdy from Ares Management Corporation, Justin Plouffe from The Carlyle Group, and Kimberly Ann Flynn, CFA from XA Investments LLC. The masterclass holds 1 CE Credit. The panelists discussed the ongoing growth across #privatemarkets and the role of #privatecredit in today’s #market. The conversation also touched on risk management, the regulatory landscape, and how private credit serves as a valuable alternative to traditional #bank lending as banks pull back from certain sectors. Watch full #CEcredit #masterclass here: https://lnkd.in/eEhaRb_U