Fund Finance

Everyone in the subscription credit facility market is ‘busy’, but it is far from business as usual. Industry players wonder what the future of the sector looks like, and reveal critical changes that may suggest a new, if still evolving, normal for the market.

Aberdeen Standard Investments, which participates in sub line transactions, is seeing a surge in dealflow and banks building out syndication abilities.

Massachusetts adds yet another lawsuit to the growing list of them against GPB Capital, and a fired compliance officer says it vindicates her claims.

Toni Caiazzo Neff says she lost her job at New York-based Purshe, Kaplan Sterling because she spoke out against its decision to sell GPB Capital at 8% commissions, having rejected the fund twice before.

Buyouts brings some LP perspective to the NAV loan market. Plus: portfolio company debt-buybacks, and NAV loans for credit funds and even LPs.

ESG ratings agencies have started to make a push into private markets; ILPA has published its final guidelines for subscription line use and reporting; KKR exec announces exit.

The latest guidance from the LP body encourages GPs to disclose net IRR with and without the use of such facilities, in addition to the methodology used to reach that figure.

More guidance on fair value; PEI’s 2020 fund administration report.

Fried, Frank, Harris, Shriver & Jacobson partners Kathryn Cecil, Jons Lehmann and Jan Sysel take a look at some of the unique considerations separately managed account borrowers need to take into account when taking out a subscription credit facility.

Portfolio finance can offer additional investment firepower or a source of liquidity, both of which are in high demand in the fallout from the pandemic, explains Augustin Duhamel.