AXA IM’s structured finance team launches Partner Capital Solutions VIII
AXA Investment Managers (AXA IM) has launched the eighth fund of its Partner Capital Solutions strategy.
Similar to previous funds in the range, AXA IM Partner Capital Solutions VIII seeks to offer opportunities to clients who want to gain exposure to performing credit from traditional core lending activities of banks including small to large corporates. The fund leverages on AXA IM’s ability to generate exposure to diversified credit portfolios that are otherwise difficult to access, and that require strong sourcing capabilities combined with robust credit skills.
The seventh fund, launched in 2017, fully deployed its 1.2 billion euros of assets under management before the end of 2019 thanks to a strong pipeline of bilateral opportunities. In 2019, the regulatory capital (RegCap) market reached a new record issuing more than 130 billion euros of underlying portfolios, encompassing roughly 60 different transactions.
AXA IM Partner Capital Solutions VIII conducted a successful first closing mainly with existing investors, including pension funds, insurance companies and family offices, willing to benefit from the end of year pipeline.
Commenting on the launch Deborah Shire, Global Head of Structured Finance at AXA Investment Managers, said:
“The RegCap market has been transformed into a full-fledged alternative investment opportunity, increasing its volume in recent years. For our investors this is an interesting way to diversify direct lending portfolios by getting access to granular loan books that are the banks’ core activities. These can include, for example, exposures to SMEs’ loans or to revolving credit facilities granted to large corporates, which are not commonly available outside the banking system. AXA IM Partner Capital Solutions VIII will offer diversification and provide attractive opportunities to clients.”
AXA IM Partner Capital Solutions VIII is managed by AXA Investment Managers, Inc. AXA IM’s Structured Finance investment team manages around EUR 45.7 billion* in global assets across the non-traditional credit spectrum . For more than 20 years, it has provided bespoke solutions and investments in alternative credit and structured finance for large investors, typically looking for stable and predictable returns. AXA IM Structured Finance originates opportunities across the alternative credit spectrum to provide clients with opportunities for sourcing, diversification and spread pick-up.