COVID-driven market dislocation marked an inflection point in NAV origination, according to a recent guest editorial in Private Equity International. NAV financings moved materially higher in 2021 as funds sought to diversify funding sources and as fundraising continued to climb higher. The author cites an estimate from Augustin Duhamel of 17Capital pegging the market opportunity for NAV financing at $100 billion a year. The full write-up, "The Non-Darwinian Evolution of Fund Financing Vehicles," is available here.
NLC recently published a white paper discussing the benefits, risks and opportunities for institutional investors looking to invest in Capital Call (Subscription) Financing. The paper provides a complete overview of the Capital Call Financing landscape and why the strategy has been gaining strong momentum with institutional investors as an alternative to traditional Investment Grade fixed income. If you’re an institutional investor looking to read the full white paper, you can request it here.
The Drawdown this week published the second edition of its Fund Finance Tracker, setting forth the fund finance offerings of various creditors. Available here.
Luxembourg-based law firm Wildgen has launched the first issue of its new Fund Finance Magazine. The publication will cover industry-focused global and local trends through the unique lens of Luxembourg, a main jurisdiction for fund finance transactions. This inaugural issue features an intro from Wildgen’s Michael Mbayi and several guest contributions on timely topics for the fund finance market. Download the issue here.
Scott Aleali and Jeff Maier this week hosted an episode of Fund Fanatics featuring Justin Golden, a partner at Greatwater Opportunity Capital LLC. To watch, click here.
Cadwalader’s Wes Misson was recently recognized as part of the Charlotte Business Journal’s “40 Under 40” 2022 awards program, an annual series designed to acknowledge young professionals who are “making a difference in the region.” This honor reflects Wes’s outstanding work on behalf of our clients and his recent appointments as head of the U.S. Fund Finance Team and as co-chair of the Firm’s Finance Group. Congrats to Wes and all his co-honorees, who represent a diverse range of businesses and organizations across the Charlotte metro area.
Nobody does anything single-handedly, but some certainly wield a greater influence than others. It’s hard to quantify or overstate the impact that Mike Mascia has had on the Fund Finance industry – both the product itself and the individual careers of so many attorneys and bankers. Mike’s mantra/mission statement, which has become the mission statement of Cadwalader’s Fund Finance team (and why our team has become the most innovative and trusted market leader in this space), is simple: “We must have a Client-First Culture of Excellence.” That is certainly one legacy of Mike’s (along with encouragement, generosity and common-sense business advice) that will not skip a beat as our mission statement remains the same as our leadership transitions from Mike to Wes Misson, an attorney who has not only the same mantra/mission statement but also has worked with − and learned from − Mike longer than anyone.
Lots of news out of the loan market. SOFR remains a focus, we have new forms from the LSTA, and what has been deemed an “existential threat” to the syndicated loan market has reared its head once again. Here’s the rundown.
Come join WFF’s Fireside Chat with Mary Schapiro on Wednesday to learn how the financial sector is taking up arms in the battle against climate change. To register, click here.
Earlier this week, Women in Fund Finance launched its new “Reader’s Series,” which is designed to invite conversation among members of the fund finance community who are avid readers of non-fiction, with an emphasis on topics concerning both social and economic impacts. At this inaugural event, the discussion was led by Walt Jackson of Onex Credit, Mike Henry of U.S. Bank, and Cadwalader’s Leah Edelboim.