Private Debt Intelligence – 11/30/2020
Investors Plans for Their Allocation to
Private Debt by 2025
In August 2020, Preqin ran a survey among investors to know their investment plans towards 2025. Of the private debt investors surveyed, 58% intend to increase allocations to the asset class by 2025, 14% of them plan to increase significantly their allocations. On the contrary, only 7% of investors are expecting allocations to private debt decrease. A 22% said they expect their allocations to stay the same. Preqin data shows a strong performance in private debt with a horizon IRR of 8.8% over the 10 years to 2019. The hunt for yield will continue to drive investors to private debt, although this strong historical performance may be difficult to match.
Contact: Maria Zapata
maria.zapata@preqin.com
Latest news
US Leveraged Loan Launch Activity Moderates in July
The US leveraged loan market has recorded $14.01b of new launches through Wednesday, July 22, following $20.91b of issuance the…
US Direct Lending Spread Per Turn of Leverage Widens
Wider spreads and slightly lower leverage provided lenders with better risk-adjusted pricing across all deal sizes in the second quarter.
Concentrated Effort
Tech deals favored upper end of market, especially in 2021 when software valuations peaked. Source: KBRA DLD Research