Sun, Sep 19, 2021
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Institutions remain upbeat about private credit

Tuesday, July 27, 2021

Bailey McCann, Opalesque New York:

New data from AIMA's Private Credit Council shows that investors are still largely pleased with private credit as an asset class despite some initial pandemic related caution.

84% of investors surveyed were satisfied with how private credit performed in the first half of this year. And, 37% of investors plan to increase their allocations to private credit in the second half of this year.

"Ongoing economic uncertainty and the low interest rate environment are reducing the appeal of traditional fixed income assets," says Tom Kehoe, global head of research and communications at AIMA. "This is driving allocators towards private credit assets that can generate income, while also offering them diversification and a hedge against ongoing economic disruption."

As for where investors plan to make new allocations - specialty finance vehicles and co-investments are topping the list. 47% of investors said they planned to consider co-investments in the second half of this year, followed by 42% of investors that said they planned to take a closer look at specialty finance vehicles. Eastern Europe and APAC are two geographies attracting investors that are interested in specialty finance.

According to the report, the pandemic has actually made it more appealing to invest in private credit - not less. Investors that were concerned about the relative newness of private credit as an asset class are considering new allocations now that t......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. SPACs: The fall of the SPAC market has digital media companies in disagreement about best path forward, Cannae Holdings: SPAC bloodbath provides a good entry point, British car startup Cazoo raises $1bn from SPAC merger, Europe's incoming SPAC boom will create a demand for talent[more]

    The fall of the SPAC market has digital media companies in disagreement about best path forward From CNBC: The digital media industry has reached a strategic crossroads. Earlier this year, special purpose acquisition vehicles (SPACs) appeared to be the long-awaited savior of digital me

  2. Property: Real estate's new moneymaker is not design-driven, it's alternative, Two Sigma building quant tools to hunt real estate bargains[more]

    Real estate's new moneymaker is not design-driven, it's alternative From Forbes: There has been a recent shift of attention in the real estate market as to the types of investments which make the strongest returns. In the past, it's always been a combination of good design, prim

  3. PE/VC: Private equity GPs, LPs alike working on diversity and inclusion, Chinese regulator vows to crack down on private equity, venture capital funds, The VC playbook for portfolio companies: learning from the Covid-19 crisis[more]

    Private equity GPs, LPs alike working on diversity and inclusion From PIonline.com: Private equity general partners and limited partners are doing more to increase diversity in private markets, according to a report released Tuesday by the Institutional Limited Partners Association.

  4. PE/VC: Private equity continues to lead fund closings, Venture capital firms are fighting to throw money at cleantech[more]

    Private equity continues to lead fund closings From PIonline.com: Among private fund closings, private equity funds have led the pack starting in 2011, based on data collected by Pensions & Investments. During those years, private equity's share has ranged from 56% to 72% of the total

  5. PE/VC: Climate tech is hot, but VCs can't forget about water, Five top trusts to tap into the private equity boom[more]

    Climate tech is hot, but VCs can't forget about water From Crunch Base: "It is unequivocal that human influence has warmed the atmosphere, oceans, and land." These fiery words come from the latest landmark U.N. report detailing intensifying, universal climate change impacts. They cover