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…
Distressed Debt Outperforms Other Private Debt Strategies The private debt industry has historically been dominated by three main strategies: direct lending, distressed debt and mezzanine, which collectively account for around four-fifths of private debt assets under management. Median returns for these strategies, and for private debt overall, have been strong, and returns have consistently hovered…
Emerging markets: CDS stalwarts Emerging market sovereigns are regarded as stalwarts of the CDS market. Liquidity is dependable – participants can usually trade in large size with relatively low transaction costs and little price impact. Those that offer doom-laden predictions about the single name product clearly pay little heed to emerging market names…. Subscribe to
Strategics are the real barbarians “Barbarians at the gate” is an idiom that has lived past its shelf life. Classifying PE firms as barbarians implies they can raid and conquer at will. There was a tinge of truth to that in the 80s, but it’s a laughable argument in today’s market. As any investor will…
Emerging markets are on the rise for private debt Much of the activity has been in India, one market source told PDI, where distressed debt has been attractive as a result of new bankruptcy rules. Private debt targeting emerging markets has been trending upward in recent years, and 2018’s total may be poised to surpass…
A third BDC issues public equity this year, but issuance remains at 16-year low Source: Thomson Reuters LPC, Wells Fargo Securities LLC TriplePoint Venture Growth BDC, a venture capital BDC, announced it is tapping the public markets to raise follow-on equity making it only the third public BDC to raise new equity this year. The…
Largest Private Debt Fund Managers Dominate Industry The private debt industry has grown exponentially over the past decade, holding more than $650bn in assets as of the end of 2017. However, as with other private capital asset classes, the industry is seeing an increasing amount of capital being concentrated among a small number of the…
A private debt fundraising hangover The steep decrease in H1 2018 may just be a function of the incredible amount of capital alternative lenders collected last year. Private debt managers are seeking the least amount of capital six months into the year since 2015, a fact that could be reflective of the broader fundraising market…
Another record year in the making? Download PitchBook’s 2Q 2018 US PE Middle Market report here. There are many themes worth discussing in the middle market, but one trend we can’t ignore is its consistent strength over the years. On cue, 2018 is on pace for yet another record year for both counts and value,…
Middle market dominates for LBO activity with direct lenders stealing share from syndicated market New Co/New Traditions! Join us for a half day on September 12th for our 24th Annual Loans Conference. The middle market continues to remain a hot spot for LBO activity – however the numbers don’t always show it. Pre credit crisis (2004-2008), roughly…