Is Now a Good Time to Allocate to Private Credit Strategies?
Yes. Despite elevated macro uncertainty, it is an opportune time to allocate to private credit.
Research Publications Archive
Private Direct Lending or Public BDCs? Guidance for Pension Plan Sponsors
Private credit strategies such as private direct lending funds and public business development companies have become popular among pension plan sponsors seeking yield enhancement over their public fixed income allocations. Understanding the key characteristics of both will better enable them to choose the best fit for their plan.
Liquidity Hazard Planning for Families of Wealth
Consistently revisiting potential liquidity risk is important work for family investors. To manage liquidity risk, families should employ best practices, monitoring illiquid investments, spending needs, and currency considerations. By doing so, they can guard against unanticipated stressors and remain on track to achieve their investment goals.
A New Approach: How ERISA-Covered US Pension Plans Can Save on PBGC Premiums
By changing the PPA discount rate methodology to the Full Yield Curve approach, ERISA-covered US single-employer pension plans can significantly decrease or eliminate their variable rate premiums, reduce complexity, and simplify the risk management process.
Foundation Annual Flash Statistics: Calendar Year 2022
The Foundation Annual Flash Statistics Report provides a first look at the results of our 2022 Foundation Annual Investment Pool Returns survey. Look for our full annual analysis in the upcoming Foundation Annual Investment Pool Returns report.
Does the Recent Rally in AI-Linked Growth Stocks Mean Value Is Doomed?
No. While the exciting developments in artificial intelligence (AI) have been a bright spot for equity markets this year, we do not think value will continue to lag growth. In fact, we expect it will outperform over the next several years.
Simplifying Family Investment Portfolios
For families of significant wealth, complexity is a natural byproduct of a well-managed portfolio, but there is such a thing as overcomplexity. This paper discusses a range of best practices to consider if and when a portfolio is encountering sluggishness, inefficiency, or ambiguity.
Don’t Count Out Government Bonds Just Yet
For investors that typically rely on high-quality government bonds as a counterbalance in equity-heavy portfolios, poor recent performance, higher cash yields, and uncertainty about inflation are difficult hurdles to overcome. However, they are not a reason to underweight government bonds. The outlook for government bonds is more constructive, and we expect them to outperform cash over the next one to three years.
Private Credit: Opportunities Abound
The current macroeconomic and market environment creates an attractive opportunity for credit opportunity managers. We believe managers with flexible capital, strong sourcing efforts, and structuring skills will find ample investment opportunities and will deliver strong returns in the coming years.
Euro Area Sinks into a Technical Recession
The latest estimate of first quarter GDP indicates that the euro area fell into a technical recession.