Partners Group’s private credit evergreen fund has swelled to €2bn (£1.7bn), amid rising investor interest in evergreen funds.
The Luxembourg-domiciled fund, which is open to institutional and private wealth investors has a diversified portfolio of more than 140 senior secured loans.
The fund, which launched in 2016, has a global direct lending strategy with investments sourced through the firm’s private credit platform.
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It returned nine per cent last year and around eight per cent annualised over the past five years.
“Our private credit evergreen fund offers exposure to a diversified global portfolio that targets senior direct loans to companies with strong cash flows in resilient industries,” said Christopher Bone, head of private credit Europe and Asia at Partners Group.
“We follow a thematic approach to identify growing companies and then act as a long-term partner to support future business transformation.”
Evergreen private credit funds have been growing in popularity among investors due to their semi-liquid structure and greater investment flexibility.
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These open-ended vehicles have no termination date, so can accept fresh capital at regular intervals and reinvest proceeds.
“The fund has always been popular amongst institutions, and we have been seeing growing interest from the private wealth segment,” said Reto Munz, managing director, private credit portfolio management at Partners Group.
“Our pro rata allocation policy means that the fund has access to the same transactions as our traditional closed-end products. As with our other evergreens, we have looked to grow this fund sustainably to ensure vintage diversification across the portfolio and the effective allocation of capital.”
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Partners Group has more than $48bn (£35.3bn) in assets under management (AUM) across its global evergreen product suite, which also includes private equity, infrastructure and royalties.
The firm has $152bn in total AUM, including $31bn across its private credit business.
