Opportunistic Credit

Opportunistic credit funds step up efforts in ABL

For credit funds looking to move beyond corporate debt, asset-based lending offers a huge opportunity set – but the barriers to entry are high.

AB CarVal: Non-bank asset-based finance is a compelling diversifier

Non-bank asset-based finance may be viewed as opportunistic by some investors, but in reality it is a vast and established asset class offering compelling diversification, say AB CarVal’s James Sackett and PJ Collins.

What lies ahead for co-op arrangements?

Following a bumper year for co-op arrangements between different creditors, the distressed debt investment world is watching the space with interest.

What’s next for defaults in a muted environment?

The lower number of defaults expected in 2025 could concern distressed investors, but many are taking a more nuanced view.

Distressed debt by the numbers

Distressed strategies took a hit in 2024, with fundraising totals down considerably on 2023’s figures and marking a significant drop on the highs of 2019-20.

Bridgepoint on finding pockets of opportunity in a challenging environment

If you have a flexible mandate and powerful sourcing capabilities, you can still identify interesting opportunities and deliver outsized and compelling returns, even in a low-growth environment, say Bridgepoint’s Rohit Dhote and Stephen Escudier.

The legal perspective on distressed debt

Managers can still expect a complexity premium for distressed strategies, say two lawyers from this year’s Private Debt Investor Rising Stars list.

Kartesia: Will direct lending funds deliver distressed dealflow?

Bloated private debt portfolios could prove ideal fodder for distressed debt investors in Europe, but it remains to be seen how managers will behave, says Tomás Neuhaus, partner and head of value enhancement at Kartesia.

How do LPs see the distressed opportunity set?

GPs observe opportunity in refinancing with attractive terms while LPs want to hedge macro risk.

Evaluating the 2025 interest rate reset opportunity

With a potential reset of interest rates likely to put indebted companies under even greater pressure, will there be a wave of opportunities for distressed debt investors?