Lower Middle Market bustled in January Direct lending deal flow was by far the busiest that Direct Lending Deals has tracked since launching last September. The tally — driven mainly by lower middle market issuers— outpaced December by 43%, and by 28% over October, the second busiest month…. Subscribe to Read MoreAlready a member? Log
Cash flow positive Download PitchBook’s Report here. Net cash flows have been hugely positive for private debt funds recently. PitchBook’s Global Private Debt Report showed a record $24.6 billion funneled back to LPs in 2018, alongside a strong start to 2019 numbers as the data slowly rolls in. Private debt treaded water in terms of net…
Private Debt Performance Lags Other Asset Classes Private debt funds have experienced the second-lowest spread of returns over the 2007-2016 vintage period among all private capital asset classes, surpassing only natural resources funds. However, private debt also has the lowest risk factor, with the smallest standard deviation in net IRRs of any asset class…. Subscribe
Private debt secondaries: On the cusp? Now a well-established part of the private equity universe, secondaries remain very much on the periphery of the private debt world. This seemed to be confirmed by Private Debt Investor’s recent LP Perspectives 2020 survey, which found that only 11 percent of investors who took part were planning to…
Is there “too much” private debt floating around? Maybe not The boom in direct debt lending has directly coincided with the PE boom over the last decade. No surprise there—a decade ago was the global financial crisis and its aftermath, when traditional lines of credit from Wall Street suddenly dried up. Direct lenders, with fewer…
After record quarter in 4Q19, Green & ESG lending off to strong 2020 start After a strong 4Q19 which culminated in record issuance across the green & ESG markets, 1Q20 issuance has set off at a brisk pace. Nearly US$54bn in green bond volume was completed in 4Q19 via 126 issues to set a new…
Private Debt Deals Break New Ground Leverage is a key component in a private equity transaction, used to drive and maximize returns for investors. Banks moving away from the space has opened up more and more opportunity for private lenders, which are better positioned to provide an alternative financing model for borrowers…. Subscribe to Read
RECESSION IS THE LOOMING CONCERN When considering the biggest threats in 2020, investors are most fearful about a possible recession in core markets or an escalation of the ongoing US-China trade war. These are seen by respondents to our LP Perspectives 2020 survey as the most likely factors to have an impact on performance in…
Issuer-friendly flex adjustments dominate US institutional loan market in January Flex activity in the US institutional loan market has been extremely friendly towards issuers this month. Refinitiv LPC’s Flex Factor has tracked 20 flexed deals so far in January, all of which have skewed in favor of issuers. This has led to a Flex Factor…
What is a private capital fund worth? Download PitchBook’s Report here. Valuing PE management companies can be extremely difficult, but the rise of GP stakes investing is making the task more common. In recent years, many GPs have been valued predominantly on cash flows, management fees and accrued performance fees…. Subscribe to Read MoreAlready a member?