Private Debt Intelligence – 11/28/2016

By THE LEAD | November 28, 2016

Credit Strategies Asset Flows

Credit strategy hedge funds have recorded strong recent performance in 2016 YTD, making gains of 7.03% as of the end of October. Despite this, the strategy has struggled to attract investor capital, and suffered net outflows through the first two quarters of the year. This has led to a diminution of the strategy’s total assets under management (AUM) from the end of 2015, but net inflows in Q3 suggest that recent returns have been bolstering investor confidence
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Markit Recap – 11/21/2016

By THE LEAD | November 24, 2016

The European Commission announced on November 23 a banking reform package that will result in changes to the CRR and CRD IV capital requirement legislation, as well as changes to the BRRD and SRMR legislation relating to recovery and resolution of failing financial institutions. The package is very broad, so we won’t attempt to comment on all of the measures.

But one change under the BRRD caught our eye, as it will have a material impact on how the bond market – and possibly the CDS market – trades. The EC proposes a harmonised framework for bondholder hierarchy…

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Purpose Driven

By THE LEAD | November 22, 2016

Middle market borrowers look to banks for refinancings; for buyouts and add-ons, almost twice as many seek institutional lenders.

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Private Debt Intelligence – 11/21/2016

By THE LEAD | November 22, 2016

First-Time Private Debt Fundraising

First-time private debt funds are of increasing interest to investors: a recent Preqin study found that the majority of investors across the private capital landscape will now consider investing in emerging funds. However, it appears that this segment of the market has yet to fully develop, and continues to be bound to the fundraising picture at the top end of the industry.

Over the past decade, first-time fundraising has often run counter to the overall private debt fundraising environment. For instance, in the period 2010-2012, when overall fundraising saw annual increases…

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