LibreMax Capital has launched a private asset-backed finance (ABF) and traded structured credit interval fund, anchored by $285m (£210m) of commitments.
The LibreMax Asset-Backed Income Fund (LMIFX) invests in a portfolio of asset-backed credit opportunities financing the US “main street” economy, including the everyday consumer, residential housing and commercial receivables.
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According to the asset manager, the fund is backed by three institutional investors, including a large Midwest public pension, a US sovereign wealth fund and a global multi-family office.
“We believe the fundamentals in asset-backed lending are particularly attractive today, supported by amortising loan pools that provide tangible collateral, diversify borrower risk, and reduce refinancing exposure,” said Greg Lippmann, founder and chief investment officer of LibreMax. “With limited capital formation in the ABF space and a conservative regulatory backdrop, we see a highly investor-friendly environment defined by stronger credit terms and enhanced yield potential.”
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New York-based LibreMax has originated and managed approximately $6.6bn in private ABF investments across its platform since inception, and has around $14bn in assets under management.
