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Alternative Credit Investor April 2024

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IMMINENT RISKS

Is a maturity wall approaching?

PEOPLE, PLANET, PROFITS

>> 10

Impact credit is on the rise

Eiffel IG’s Fabrice Dumonteil on their new impact unitranche fund >> 5

ISSUE 92 | APRIL 2024

Private debt fundraising to rebound in 2024 PRIVATE debt fundraising activity is predicted to pick up again this year, after a dip in inflows in 2023. According to PitchBook’s 2023 annual global private debt report, private debt fundraising activity from institutional investors totalled $190.9bn (£150.4bn) last year. The research firm

expects the true total to breach $200m, as data from late reporting funds trickles in. This is a “substantial” figure but it is likely to equate to a 10 per cent year-on-year drop in fundraising activity, PitchBook said, due to a weak second half of the year when just $76.7bn was raised. It partly attributed this

to large funds staying open for longer. The average time to close a debt fund has risen to 20 months in 2023 from just 13.5 months in 2016. Industry perception of the current fundraising landscape is mixed. Investor relations professionals at some private credit fund managers have told Alternative Credit

Investor of challenging fundraising conditions. But other stakeholders have suggested that the challenges vary depending on the funds’ strategies and the track record of the manager. And a London-based private funds lawyer said their clients expect conditions to improve in the second half of 2024. Despite last year’s >> 4


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