News & Analysis as of

Lenders Risk Management Investment Funds

Troutman Pepper Locke

Private Credit Funds as Key Lenders in Subscription and NAV Lines: Market Insights

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Private credit funds (PCFs) are emerging as key players in the subscription and net asset value (NAV) line market, significantly impacting fund financing. Regulatory changes, economic trends, and strategic innovations are...more

Cadwalader, Wickersham & Taft LLP

Midyear Look: Retail Capital Rising, July 2025 - Retail Investors: Challenges and Opportunities in Subscription Finance

The growth of High Net Worth Individual (“HNWI”) allocations to alternative investments is a hot topic in fund finance. In what is widely acknowledged to be a challenging fundraising environment, fund managers have focused...more

Cadwalader, Wickersham & Taft LLP

Debt by Design, June 2025 - Permitted Indebtedness

Before a subscription lender can enter into a subscription credit facility with a fund, the subscription lender will need to review the limited partnership agreement (“LPA”) of such fund to confirm the LPA allows for...more

Cadwalader, Wickersham & Taft LLP

Back in Rotation, June 2025 - Return of Portable Alpha Strategies

In the past few years we have seen a resurgence of the use of portable alpha strategies tied to hedge fund investments (and the financing arrangements that accompany them), a trend that this old-timer last encountered more...more

White & Case LLP

Net asset value finance gains ground with infrastructure managers

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The increase in the use of fund finance by private equity is carrying over into the infrastructure fund space, with managers using net asset value and back-leverage facilities to unlock liquidity for investors and portfolio...more

Cadwalader, Wickersham & Taft LLP

Key Person, Key Risk, May 2025 - A Key Person Will Never Walk Alone . . .

For those that are not aware, Liverpool Football Club have now officially won their record equalling 20th English league football title. For the benefit of non-fans of association football or soccer (“soccer” of course...more

Cadwalader, Wickersham & Taft LLP

Is Cash King? Deferred Consideration and Specie/in-Kind Transactions in the Context of Private Equity NAV Financings

Net asset value (NAV) facility documentation, at least in the context of private equity, has evolved to a large extent on the assumption that borrower funds will usually execute transactions in cash - paying cash on...more

Mayer Brown

Subscription Credit Facilities: Understanding the Collateral

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Subscription credit facilities, commonly referred to as “sub-lines” or “capital call facilities,” are a cornerstone of private equity finance. These facilities are secured by a bespoke collateral package that protects lenders...more

Cadwalader, Wickersham & Taft LLP

The Comfort Letter Comeback, March 2025 - Comfort Letters

In the evolving fund finance market, lenders are constantly assessing ways to mitigate risk and enhance credit support in order to provide for the smooth operation of subscription-based credit facilities. One such credit...more

Mayer Brown

Subscription Credit Facilities: The Importance of an Investor’s Agreement to Fund Without “Setoff, Counterclaim or Defense”

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EXECUTIVE SUMMARY - Subscription credit facilities rely on the obligations of investors to a private investment fund (“Fund”) to contribute their capital commitments to the Fund when called. From a subscription credit...more

Cadwalader, Wickersham & Taft LLP

Give and Take February 2025 - When Relationships Go South

In entering into a fund financing, both the Lender and the Fund have expectations that the relationship will be a success.  The Lender is appreciative of the association, and the Fund is confident in its ability to raise...more

Proskauer Rose LLP

2025 Private Credit Survey Shows Enthusiasm for Dealmaking and Lending in Year Ahead - Insights

Proskauer Rose LLP on

NEW YORK and LONDON, February 3, 2025 – Leading international law firm Proskauer today shared its 2025 Trends in Private Credit report, highlighting market participants’ strong belief that 2025 is expected to be an exciting...more

Carey Olsen

Fund Finance Laws and Regulations 2025: Assessing Lender Risk in Fund Finance Markets (GLI chapter)

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Carey Olsen have contributed to the Global Legal Insights – Fund Finance guide by authoring a chapter on assessing lender risk in fund finance markets. As the fund finance market continues to evolve, lenders will need to...more

Cadwalader, Wickersham & Taft LLP

Managing Risks and Maximizing Leverage – Thinking Outside the Square

There has been considerable discussion in the market over the last 12 months about how lenders can increase liquidity and manage the risks that can arise through over-exposure to a particular sponsor, sector or product....more

Goodwin

SEC Adopts Broad Exempt Offering Reforms

Goodwin on

In the News. The Securities and Exchange Commission (SEC) adopted broad exempt offering reforms; the Department of Labor (DOL) finalized a rule, with significant revisions from the original proposal, on ESG investments; the...more

White & Case LLP

Four steps to managing risks in desalination projects

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As global water shortages worsen, desalination projects are likely to proliferate. Sponsors that can manage project risk will capture significant value while helping the world meet its water needs. Increasing pressure to...more

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