Breakfast & registration09:00EDT
Panel - State of the middle market: manager insights
2021 was an exceptional year for private credit, with high levels of activity due to pent-up demand and $191.2 billion allocated towards the asset class. On the direct lending side, managers remain bullish for the year ahead, and private credit fundraising levels remain positive. Our panel of esteemed private credit experts will discuss their views on the market and look at the year ahead, including challenges and changes that may arise as a result of market volatility.
- What are the current drivers of continued growth in the private credit market and what is driving the rise of unitranche transactions and billion-dollar deals?
- Which sectors do managers see the most activity when it comes to portfolio construction, and is there a need for increased diversification?
- What are some challenges managers are facing, such as inflationary pressures, rising interest rates and supply chain issues?
- What is the outlook for private credit in the year ahead?
Fireside chat: The devil's in the details
Deal terms have always been one of the keys to the success, or failure, of middle-market debt investments, but they are even more critical when times get tough. Brightwood Capital's Mia Ellis and Todd Koretzky of Allen & Overy will dive into everything from covenant deal-breakers to the specific challenges in sectors like healthcare.10:30EDT
Panel - Opportunistic credit, distressed and special situations investing
Opportunistic, distressed and special situations opportunities could be on the rise as a result of inflation, rate hikes, geopolitical and economic uncertainties. Our panel of investment professionals discuss the outlook and competitive landscape for distressed debt and special situations, as well as their thoughts on what opportunities may emerge in the next 12 months.
- How are market dislocations creating distressed debt and special situation opportunities?
- Core vs opportunistic strategies – which have performed better in the past year, and how will this affect future allocations?
- Which sectors and regions look most attractive for distressed investors?
- What is the outlook for the year ahead?
Fireside chat - Getting valuation right for private credit funds
From market volatility to the SEC's new 2a-5 rule, there are a more challenges for managers looking to value their private credit portfolios than ever before. In this discussion we'll ask Pricing Direct's Unmesh Bhide for his solutions to all of these problems and more.12:15EDT
Panel - ESG investing in private credit: the path to sustainability
The conversation surrounding ESG factors in private credit has grown considerably in the past year, with ESG approaches becoming increasingly sophisticated. Whilst lenders have been adopting innovations to encourage more sustainable practices, there remains much more to be done, and as investors continue to demand private credit GPs to solidify their approach to ESG integration, this topic must remain at the forefront of manager’s minds. Our panel of ESG experts will discuss their approaches and experiences in this area.
- What are some developments that the private credit market has made in terms of ESG, and what is the role of the market in tackling issues such as climate change?
- How can lenders work with sponsors to ensure that ESG due diligence can be adhered to?
- What are some challenges GPs and middle-market managers may face when it comes to ESG?
- Have LP expectations for ESG reporting changed in the past year?
- What does the future hold for ESG incorporation in the private credit market?
Fireside chat - Lender vs borrower dynamics in Private Credit
It takes two to tango, and in this interview Kirkland & Ellis' Judson Oswald talks to two prominent capital markets and private credit professionals about how they think about financing deals.14:30EDT
Panel - The rise and rise of MM CLOs
2021 was a record-breaking year for mid-market CLOs, with overall issuance trebling year-on-year to a value of $43.6 billion. Despite market volatility 2022 also got off to a reasonably start, but how will the product fare overall in this uncertain year? Our panel of CLO experts will discuss the opportunity set.
• What is continuing to drive the demand in MM CLOs, and what are the expectations of CLO activity in the year ahead?
• How have MM CLOs performed in the past 12 months, and what are realistic assumptions for the rest of year?
• What is driving this year's return of blockbuster billion-dollar CLOs?
• What other structured products are available for investors looking to add leverage to their private credit exposure?15:15EDT
Masterclass: investment fund debt
CLOs may be the most visible way for a fund manager to add leverage to a portfolio, but there are a host of private alternatives, many of which can now be rated. DBRS Morningstar's Lisa Kwasnowski and Joe Priolo will outline the wide range of options open to managers, including closed end funds, interval funds, and perpetual vehicles, and debt issuances directly from these vehicles or from feeder funds.16:15EDT
Panel - Would you buy it?
Our panel of top private credit managers walk us through their investment processes through analyzing several case studies. Based on recent deals in the market, our managers will discuss the top factors that need to be considered.17:00EDT