Secondaries take off in wake of covid crisis Credit secondaries are a small but rapidly growing part of the asset class and recent events bode well for this niche market. In private markets, the development of healthy secondary transactions is perhaps one of the clearest indicators that an asset class has truly matured and become…
Testing times for leveraged loans Market conditions have been described as a ‘perfect storm’ as various pressures increase. Is something about to give in the financial markets? And if so, how would that affect leveraged loans? It would not be a stretch to be concerned about such a possibility, given recent geopolitical and capital markets…
Distress on the comeback trail In an increasingly turbulent and inflationary world, could an ‘old-fashioned’ wave of distressed debt be around the corner? The covid pandemic, inflation that now looks more long term than transitory, the promise of hikes in base rates, supply chain pressures, the conflict in Ukraine. The list may go on, though…
The durability of dealflow in a crisis Private debt deals may take a temporary pause when confronted with volatility, but they soon bounce back. Private debt dealflow typically picks up strongly following market shocks. This was one of the key findings as Deloitte took a look back over ten years of its Alternative Lender Deal…
Germany defies the doubters Once seen as a private debt laggard, Germany is now at the forefront of the asset class’s deal boom. While the onset of the covid-19 pandemic saw private debt deal-doing take a rollercoaster ride through some of its lowest and highest points yet, Germany has consistently gained ground on its major…
Why large-scale distress may be back in fashion For big distressed debt funds, identifying sufficient dealflow has been a challenge. But do such investors now have a ‘perfect storm’? With the world in a state of flux, it seems an appropriate time to revisit the distressed market and see whether there is a sense that…
Safety first is good news for senior debt Investors coming from fixed income, and with anxiety around inflation, see the senior end of the spectrum as their natural entry point into private debt. The covid-19 pandemic has seen senior debt fundraising take more market share, with PDI’s 2021 Fundraising Report recording that 45 percent of…
Europe has maintained its deal discipline Despite some inflation effects being felt, the overall picture is rosy for those operating in the market. A new report from investment banking advisory firm Lincoln International highlights some of the trends from a strong year for deals in Europe in 2021. One area for concern in previous Lincoln…
The lure of the lease As the hunt for yield gathers even more intensity, the triple-net lease strategy is winning support. With the prospect of sustained inflation likely to further erode already diminishing fixed income yields, the hunt for yield and attractive risk-return is becoming even more urgent. Against this backdrop, increasing numbers of investors…
It’s not all about institutions All the talk is around retail investment as fund managers reach out to this potentially huge investor base. Retail investors have been beating at the door of the alternative investment industry and it appears the door is now being thrown open, as private debt managers increasingly fall over themselves to…