Private debt has erupted onto the scene with
senior loans, mezzanine financing, infrastructure
debt and even distressed debt recently gaining
a large following as investors hunt for better
returns and longer term relationships in the
current low interest rate environment.
Data from Preqin reveals that nearly two-thirds of credit funds that
closed in the first quarter of 2017 exceeded their target fund raising
levels. 80 funds raised USD39.1 billion in capital in the second quarter
of 2017. All the signs point to private debt continuing to grow as an
asset class with increasing competition for deals. It is now a crowded
market and arguably a more mature one.
This article was originally published in Spotlight Credit Funds