Private Debt sees Imbalanced Fundraising Landscape As of the start of Q3 2016, there were 247 private debt funds in market, targeting an aggregate $141bn in capital commitments. However, the landscape currently shows an imbalanced ratio in terms of the debt types which have the most funds on the road, compared to the corresponding proportion…
Private Debt Industry Achieves Greater Fundraising Success in H1 2016 Although private debt fundraising in Q2 2016 has not matched the record levels seen in recent quarters, H1 2016 as a whole has seen a record proportion of funds exceed their initial target size. The period has also seen a diminishing number of funds fail…
Private Debt Fundraising Shows Signs of Acceleration in Q2 Preqin’s quarterly fundraising update on the private debt industry finds that Q2 showed healthy signs of acceleration, boosting hopes the industry will return to the record fundraising levels seen over the twelve month period between Q4 2014 and Q3 2015. Over the quarter, 28 vehicles… Subscribe
Credit Hedge Fund Performance in 2016 YTD The first months of 2016 were characterised by continued market volatility, and credit-focused hedge funds recorded losses across all sub-strategies in January and February. However, as global turbulence has calmed moving into Q2, all sub-strategies have seen improved performing and posted three consecutive months of gains… Subscribe to
Private Debt Dry Powder: Regional Contrasts The amount of capital available to private debt fund managers varies hugely in different parts of the world. In H1 2016, managers focusing on North America and Asia have both seen dry powder reach record levels, while Europe-focused… Subscribe to Read MoreAlready a member? Log in here...
Investors Planning Larger Allocations to Private Debt Across all Regions Preqin research into the private debt industry finds that while investors in all regions are currently below their target allocation to the asset class, there is significant fluctuation between regions. Despite private debt in North America and Europe playing a crucial role in fundraising… Subscribe
Private Debt Firms Maintain Lower Management Fees Negotiating appropriately structured fund terms and conditions has long been a key issue for investors across all alternative asset classes. Until recently, the traditional “2 & 20” fee structure for private equity funds has been widely used, but in the past several years these arrangements have become less…
Distressed Debt Fundraising Overtaken by Direct Lending in North America During the Global Financial Crisis (GFC), the distressed debt market in North America established itself as the driving force behind the emerging industry of private debt in the region. Throughout 2007 and 2008, an aggregate $80bn was raised through distressed debt vehicles as investors allocated…
Private Debt Developing in Asia Although the private debt market in Asia remains substantially smaller than the more developed credit markets in Europe and North America, data from Preqin points to a growth in the Asia-focused industry. Seventeen private debt funds principally focused on Asia closed in 2015 raising $6.1bn in aggregate capital. This represented…
Credit Strategies Hedge Funds Face Testing Times Credit strategies hedge funds saw a trade-off between limited volatility and near-neutral returns through 2015 and the opening quarter of 2016. Quarterly performance through the period saw highs of 2.20% (Q1 2015) and lows of -0.96% (Q3 2015), as credit strategies funds recorded lower volatility than the wider…