Volatile times, but no distressed boom Capital raising for distressed and special situations strategies has remained at modest levels since hitting a peak in 2019. Fundraising for distressed and special situations strategies has remained remarkably consistent, even as the long-term effects of the covid pandemic, rising inflation, war in eastern Europe and the continuing fear…
LPs follow the pack Our research indicates investors are keeping faith with mainstream strategies – at least for now. Conservatism appears to be the driving force for many investors in private debt, our LP Perspectives 2024 Study suggests. When it comes to fund strategy, direct lending has long been the most favoured option for investors…
Signs of hope in Asia-Pacific As the Middle East grows in significance as a source of capital and travel resumes post-covid, Asia-based GPs are hoping they can find backing for the region’s big investment themes. It’s an arresting statistic: by 2050, more than half of the world’s GDP is expected to be accounted for by…
Co-investment comes to the fore More than 40 percent of investors are now looking at co-investments in private credit – representing a big increase in appetite. After many years of discussion, LPs are finally starting to benefit from co-investment opportunities in private credit. According to Private Debt Investor’s LP Perspectives 2024 study, more than four…
Private markets get the nod over the long term Investors are confident in the future of private markets, but fund managers have shown combining public and private market investment through flexible mandates can work well. Our recently published LP Perspectives 2024 study asked investors to compare prospects for public and private markets over the short,…
Investors bullish on returns Private debt’s recent outperformance of private equity has bolstered faith in its ability to beat performance benchmarks. Another boost was given to believers in a private debt ‘golden age’ last week, with a report from Bloomberg suggesting private debt fund returns beat those for private equity for two quarters in a…
ESG’s return impact downgraded Investors overall appear to have less faith in ESG’s transformative characteristics in the long term, especially those based in the US. After a period of heightened focus on environmental, social and governance issues, LPs have begun to recalibrate their ESG strategies amid escalating political pushback against such initiatives, particularly in the…
Queuing for seconds Investor appetite for credit secondaries has tripled since 2022, according to our latest Perspectives study. Investors are more switched on than ever to the opportunities available in private credit secondaries, according to Private Debt Investor’s LP Perspectives 2024 Study. In all, 21 percent of LPs now plan to commit capital to secondaries funds…
Life after the fundraising slump All private markets, including private credit, experienced a tough 12 months on the fundraising trail in 2023. Hopes are higher for the year ahead. The fundraising figures are in for full-year 2023 and they reveal a drop in global private credit capital accumulation to just $219 billion, the lowest amount…
Investors stick with tried and trusted North America and direct lending are more in favour than ever, PDI’s LP Perspectives survey discovered. In this column last week, we reflected on some of the headline findings from our LP Perspectives survey, which obtained the views of 117 institutional investors on the current state of private markets….