Partners Group has launched a global multi-sector private credit income strategy targeting high single-digit to low double-digit returns, according to Private Equity Wire. The launch is positioned as a response to growing investor demand for diversified income-generating investments, according to Private Equity Wire.
Open-ended evergreen access for institutional and wealth channels
The strategy will be available to institutional and private wealth investors worldwide through an open-ended evergreen fund, according to Private Equity Wire. Partners Group said the launch reflects increasing investor interest, particularly in Asia, in strategies offering attractive yields and relatively stable income streams amid market volatility.
Portfolio mix spans six credit areas across developed markets
The strategy aims to generate returns primarily through income from a diversified portfolio spanning senior direct lending, credit secondaries, fund financing, royalties, opportunistic credit and liquid credit across developed markets in Europe, North America and Asia-Pacific. The multi-sector approach is designed to provide flexibility as market conditions change, allowing the fund to shift its exposure between credit strategies as opportunities emerge.
Partners Group provided an example in which weaker mergers and acquisitions activity could reduce direct lending opportunities while increasing demand for credit secondaries and net asset value financing as general partners and limited partners seek liquidity.
Private credit platform scale and product structures
Andrew Bellis, global head of private credit at Partners Group, said combining complementary credit strategies across different sectors and regions could help generate enhanced returns by exploiting variations in market structures and lending conditions, according to Private Equity Wire. Founded in 2003, Partners Group’s private credit business manages $40 billion in assets globally across multiple strategies, including senior and junior direct lending, private credit secondaries, fund finance, broadly syndicated loans and collateralised loan obligations.
Partners Group offers private credit exposure through a range of structures, including traditional closed-end funds, evergreen vehicles and bespoke mandates. Partners Group manages more than $186bn in assets across private equity, private credit, infrastructure, real estate, royalties and special opportunities, supported by a global workforce of approximately 2,000 professionals.
Widely known context: “Evergreen” private credit funds are typically structured to accept subscriptions on an ongoing basis rather than raising a fixed-duration closed-end vehicle. Widely known context: Multi-strategy credit portfolios commonly combine different risk and liquidity profiles, including private and liquid credit exposures.
