More asset owners are leaning towards private credit rather than private equity -- a trend seen likely to continue given the interest-rate and macroeconomic backdrop.
Tag : private credit
In partnership with Nuveen
The rest of this year should produce a dynamic market environment that will offer alternative credit investors many opportunities to access attractive returns while improving overall diversification levels, according to new research from Nuveen.
NF Trinity looks for diversified global investments in the private market, while trying to avoid bias towards certain countries or sectors.
A growing private credit industry in Singapore is helping fund sponsors to create Asia-specific offerings, and attracting asset owners from the Asia Pacific and other regions.
The city-state's drive to become a regional hub for alternative assets over the past few years has encouraged interest from new kinds of investors and led to evolving products.
HSBC Life Hong Kong plans to deploy new capital into private equity and private credit investments over the next three years, its chief investment officer said.
As bank financing retrenches across the region, the Canadian pension manager eyes the opportunity to fill that gap.
In partnership with Nuveen
The rapid growth of private credit as an asset class in the US and Europe reflects attractive investment characteristics that could make it well-suited to address recent macro challenges, says Randy Schwimmer, senior managing director and co-head of senior lending at Churchill from Nuveen, and Mattis Poetter, co-chief investment officer of Arcmont from Nuveen.
As recession risks loom and high rates weigh on corporate balance sheets, private credit investors are betting on segments that can capitalise on periods of dislocation and tightening liquidity.
Apollo CEO Marc Rowan said that increasing banking regulations are pushing private markets to offer financing, which could lead to eventual course correction, particularly in Europe.
Sun Hung Kai & Co thinks it's crucial for hedge fund portfolios to stay liquid amid volatility, preferring strategies that don't take big equity bets.
Private credit is also seen as being able to weather “higher for longer” rates environment well, a newly released report finds.