Alternative Credit Investor’s Post

Private debt funds have delivered strong performance, producing an estimated net return of 8.2% for the 12-month period ended Q3 2023. This makes it the second-best-performing private market strategy during that span, according to our 2023 Annual Global Private Debt Report, sponsored by the American Investment Council, which explores the latest trends shaping the asset class. Private debt was also the second-largest fundraising strategy of the year, overtaking VC. When the final numbers are in, the total value of private debt funds closed in 2023 will likely exceed $200 billion for the fourth consecutive year.

Case study: Helaba Debt Fund Platform 🚀  In 2021, Helaba set out on a strategic mission to improve credit portfolio management and balance-sheet flexibility. The key objective was clear: implement a systematic and forward-looking approach to portfolio management while expanding the bank’s risk distribution.   Our result, the “Infrastructure Debt Fund I” was closed in a record time of just three months! Helaba retains a significant share of exposures, ensuring high diversification within the funds. This strategy provides attractive economics and flexibility, supports larger loan amounts, and strengthens customer relationships. 💪  For more information, visit the Helaba Debt Funds Platform https://lnkd.in/ddskzzEY Jens Kuttig Gunnar Rittershaus

Bigger and better -- this year's Private Debt Investor's 𝗚𝗹𝗼𝗯𝗮𝗹 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿 𝟳𝟱 expands on our previous list, featuring new global players and a wider geographic reach. The fifth annual Global Investor ranking has unveiled 75 LPs this year, showcasing an updated list of notable new entrants and demonstrating greater geographic diversity, reflecting those investors making significant commitments to the private debt asset class. Explore 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗗𝗲𝗯𝘁 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿'𝘀 𝗚𝗹𝗼𝗯𝗮𝗹 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿 𝟳𝟱 𝗿𝗮𝗻𝗸𝗶𝗻𝗴 coverage to see who is leading in the private debt arena and find out how your peers are positioned: https://okt.to/B812ZT #PDI #PrivateDebt #LPs #Investors #APAC #Europe #NorthAmerica

Why is now the time to invest in private debt? Stephan Caron, Head of European Private Debt at BlackRock, recently shared his views with Private Debt Investor, citing returns are currently the highest he’s seen over his 30-year career. Our European Private Debt team continues to be focused on the core mid-market where there has been less price compression and better covenants than for larger deals. It is also benefiting from a pick-up in M&A activity due to growing confidence from a more stabilized rate environment. While rates may come down a bit in the near term, they won’t come down rapidly, so we believe attractive returns are here to stay for a while. Read more: https://1blk.co/4dI8F3x

📊 H1 2024 Global Private Debt Report (PitchBook) 📊 🔸 Private debt continues to demonstrate its strength with steady fundraising momentum. Now positioned just behind private equity in the traditional institutional channels, private debt has secured newly committed capital comparable to 2023, marking five consecutive years of $200 billion+ raised globally. 🔸 In the wealth management sector, fundraising has accelerated by almost 40% year-over-year, potentially exceeding $60 billion in the US market in 2024. In the insurance sector, private credit has captured 62% of gross inflows from the "big seven" US alternative asset managers, with half of that coming from insurance channels. 🔸 H1 2024 private debt fundraising matches the trends from 2023, which recorded $215.5 billion for the full year. 📲 Follow us for the latest insights and updates! #PrivateDebt #PrivateEquity #AlternativeAssets #Fundraising #WealthManagement #PrivateCredit #InstitutionalInvesting #GlobalDebtMarket #InsuranceFunds #InvestmentStrategy

Preqin: Capital Raised by Private Debt Funds Falls in APAC: Asia Pacific investor interest in private debt funds is rapidly gaining recognition. However, capital raised by funds in the region is declining, according to a report by alternatives data provider Preqin. #Preqin #privatedebt

Recent data from PitchBook's 2023 Annual Global Private Debt Report indicates private debt continues to attract capital from investors, with broader tailwinds bolstering performance for the asset class. Per the report, direct lending continues to be the preferred sub-strategy, accounting for nearly 32% of the overall mix of funds closed in 2023. However, the asset class continues to diversify, and we believe that more tailored private credit strategies will continue to emerge as the asset class becomes more specialized and investors continue to seek outsized returns.  At Evolution Credit Partners, we invest across the capital stack and offer a solutions-based approach to credit investing with a focus on attractive risk/reward across private credit.     Dive deeper into the insights here: https://lnkd.in/ed8G2xJD   

Why is now the time to invest in private debt? Stephan Caron, Head of European Private Debt at BlackRock, recently shared his views with Private Debt Investor, citing returns are currently the highest he’s seen over his 30-year career. Our European Private Debt team continues to be focused on the core mid-market where there has been less price compression and better covenants than for larger deals. It is also benefiting from a pick-up in M&A activity due to growing confidence from a more stabilized rate environment. While rates may come down a bit in the near term, they won’t come down rapidly, so we believe attractive returns are here to stay for a while. Read more: https://1blk.co/3LQp0XI

𝗪𝗲𝗹𝗰𝗼𝗺𝗲 𝘁𝗼 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗗𝗲𝗯𝘁 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿’𝘀 𝗚𝗹𝗼𝗯𝗮𝗹 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿 𝟳𝟱, 𝗼𝘂𝗿 𝗮𝗻𝗻𝘂𝗮𝗹 𝗿𝗮𝗻𝗸𝗶𝗻𝗴 𝗼𝗳 𝘁𝗵𝗲 𝘄𝗼𝗿𝗹𝗱’𝘀 𝗹𝗮𝗿𝗴𝗲𝘀𝘁 𝗽𝗿𝗶𝘃𝗮𝘁𝗲 𝗱𝗲𝗯𝘁 𝗶𝗻𝘃𝗲𝘀𝘁𝗼𝗿𝘀. Private Debt Investor's fifth annual Global Investor ranking has unveiled 75 LPs this year! Our updated list introduces several notable new entrants and demonstrates greater geographic diversity, reflecting those investors making significant commitments to the private debt asset class. The Global Investor 75 ranking evaluates the fair value of private debt investment portfolios held by investors as of December 31, 2023. This methodology allows for an equitable comparison across all participants. Ultimately, this ranking showcases the influential players driving private debt's expansion. Explore PDI's Global Investor 75 ranking coverage to see who is leading in the private debt arena and find out how your peers are positioned: https://okt.to/9JHGyv #PDI #PrivateDebt #LPs #Investors #APAC #Europe #NorthAmerica