Largest distressed debt hedge funds. But GPs expect to...

Largest distressed debt hedge funds. But GPs expect to increase capital deployment in 2024 and beyond with expectations for more troubled companies and distressed debt. Distressed Debt Hedge Funds: The Top Firms, Careers, Example Distressed Trades, Recruiting, Interviews, Exit Opportunities, and More. In April, Los Angeles-based distressed asset manager Oaktree Capital Management announced its intention to raise the largest distressed debt fund in history, at a target size of $15bn. S. com). Unsurprisingly, the two largest funds in the market now, according to PitchBook data, are direct lending funds: Ares Capital Europe VI and Oaktree Lending Partners. Distressed debt funds come in various forms, and understanding the distinctions among them is crucial for investors looking to navigate Distressed debt funds have slipped in performance in recent years, with slim pickings for attractive distressed assets. Understand how this investment works, key strategies, and the role of hedge funds in navigating distressed debt opportunities. Distressed Debt Funds refers to securities of companies or government entities facing financial difficulties trading at significant discounts. This comprehensive analysis examines the leading alternative investment funds across nine major categories: private equity, hedge funds, real estate, infrastructure and energy, commodities, venture capital, credit and distressed debt, cryptocurrency, and digital assets. Yes, hedge funds typically have general partners when structured as limited partnerships. Going forward, I will use this post to keep a list of all distressed debt / event driven hedge funds I come across, combining with linking these to relevant websites and They are now trading at 20 cents. We advocate for effective and resilient capital markets. Nov 27, 2024 · In this article, we will explore the top 10 distressed debt hedge funds to watch, providing insights on their strategies, performances, and the ever-evolving landscape of this niche investment sector. As one of the top performing hedge funds, Distressed Debt 1 LP is managed by Randy Durig, who has published articles on Seeking Alpha for over two years, and we would like to update our Seeking distress = a tool, not an all-weather strategy, even among so-called distressed debt specialists. Exploring Different Types of Distressed Debt Funds Distressed debt investing is a niche but potentially lucrative strategy that attracts a diverse range of investors, from private equity firms to hedge funds, each with their unique approach and objectives. Boost insights now! Appaloosa specializes in distressed debt investing, focusing on public equity and fixed income markets globally, including equities and debt of distressed companies, bonds, exchange warrants, options, futures, notes, and junk bonds. The distressed debt of French chemicals producer Kem One has become a battleground for global credit hedge funds including Arini Capital and Sona Asset Management, amid fears over the long-term viability of Europe’s chemicals sector, according to a report by the Financial Times. The performance spread between distressed debt hedge funds and US high-yield corporate distressed bonds was at its highest level since 2015, indicating a strong environment for bond pickers and flexible investment strategies amid the credit volatility. 32 trillion in assets under management. Read more here. These funds use sophisticated investment strategies, including direct property acquisitions, distressed debt, REITs, and credit-based structures, to generate returns. With Oaktree’s new fund, the total capital committed to distressed debt has already more than doubled 2024’s total. Founded by two former Deutsche Learn the essentials of distressed debt investing, a high-risk, high-reward strategy involving the purchase of debt from financially troubled companies. But there are signs that European distressed debt investing may finally be set to have its heyday. distressed debt asset managers are in fundraising talks with investors to boost their firepower, anticipating that a recession will create more opportunities to snap up and profit off Avenue Capital Group – AUM $12 billion Co-founders Sonia Gardner and Marc Lasry run a special situations fund that allocates capital for distressed debt investing, undervalued securities plays, mergers, acquisitions, currency and triangular arbitrages, and private equity investments. In this article, we will explore the top 10 distressed debt hedge funds to watch, providing insights on their strategies, performances, and the ever-evolving landscape of this niche investment sector. securities industry. Private debt fund managers are pitching to investors a variety of strategies that are targeting new opportunities across direct lending, distressed debt and asset-based lending. , the first of its private-equity investment funds, formed to make investments in distressed companies. Feb 13, 2025 · Oaktree raised $16bn for a long-running opportunistic strategy, the largest fund in its history and the largest distressed-debt fund ever raised, giving the firm a sizable new pool of money to back cash-constrained companies in a range of industries. What are the largest special situations funds? Here is a list of the nine largest private credit funds in the world based on the total amount of assets invested in private credit. Main Players in Distressed Debt Funds While it’s hard to rank the main players in the distressed debt funds universe, here are some well known names. Discover the top distressed debt funds reshaping Europe's NPL market in 2025. Explore investment strategies from Apollo, Oaktree & emerging players at DDTalks. Distressed debt funds have slipped in performance in recent years, with slim pickings for attractive distressed assets. there's a reason most of funds you mention now have diversified lines of business (e. , pvt credit, clo, re, pe, structured products), or likely in the boneyard of funds that fancied themselves masters of the universe / capable of earning alpha After a more challenging 2022, the Eurekahedge distressed debt hedge fund index was up 5. The hedge fund titan just made a sizable move in a red-hot sector. After several years of legal and shareholder battles, P&G raised its offer for Wella AG for all preferred shareholders. Based on the most helpful WSO content, here are some of the top players in the distressed hedge fund (HF) space: Oaktree Capital - A marquee distressed debt platform specializing in trading distressed securities on a minority, non-control basis. Hereunder is a run-down of the highlights of the distressed investing outlook for 2024. 301 Moved Permanently 301 Moved Permanently openresty The global hedge fund industry has grown to $4. 9 per cent on Friday, the highest performing strategy of the year so far. Feb 12, 2025 · Just five distressed debt funds closed last year, totaling $7. Here is the new list of distressed debt hedge funds. Since its formation in 1995, Oaktree has become the largest distressed-debt investor in the world. 3 billion, according to PitchBook data. Funds that play in secondary distressed (note some have illiquids buckets as well for distressed lending): Goldentree Brigade Beach Point Diameter Redwood Blackrock Credit Alpha Varde PIMCO Nut tree Canyon Apollo credit hedge fund Caspian MidOcean Sound Point Oak Hill Advisors Aristeia White box MM shops Garda Aurelius Oaktree flagship The current environment for distressed investing is compelling and the opportunity set that is expected to continue to grow in the coming years is creating investor interest. Within six months after the collapse of Drexel, Apollo launched Apollo Investment Fund L. Real estate hedge funds are professionally managed investment vehicles that pool capital—often from institutional investors—to invest in a wide range of real estate assets. A. P. But GPs expect to increase capital deployment in 2024 and beyond with Two of the biggest hedge funds in the distressed investing landscape, Marathon Asset Management and Avenue Capital, began the shift earlier: Marathon used a similar vehicle for a fund focused on Looking for a list/rankings of the best distressed funds across both hedge funds and PE. Distressed Debt Investing is the purchase of debt at a steep discount from existing lenders, where the borrower is insolvent or in distress. Managers leverage their legal expertise in debt restructuring, and operational execution to identify, value, and monetize on distressed assets. Free online personal finance investment software Alternative Investments Reimagined - Financial advisors can seamlessly customize client portfolios across many of the industry’s largest and well-recognized private equity, private credit, venture capital, and SPV funds. Discover what vulture funds are, how they operate by purchasing distressed investments like defaulted bonds or bankrupt equities, and explore their high-risk strategies. Summary of New Buy David Tepper (Trades, Portfolio) added a total of 2 stocks, among them: Distressed Debt Trading – This one is similar to what many distressed debt hedge funds and credit funds do: buy Debt that trades at a considerable discount to par value, such as 30%+, and sell it once the price rises (or, do the opposite and bet against the Debt with a credit default swap). Jun 2, 2025 · Asset-backed lending, distressed debt or credit-orientated special situations funds are also included. A distressed-debt rally driving gains in high-yield funds still has room to run in countries as diverse as Argentina and Ukraine, according to the hedge fund with t… If you haven’t heard, distressed debt remains popular with hedge funds. Och Ziff - they are a traditional multi-strat and publicly traded with a well-built out credit team. Jan 21, 2019 · Davidson Kempner - top distressed hedge fund with nearly 30bn in AUM, put them in similar league to King Street, Monarch, Angelo etc. [1] Investors in the fund profit by buying debt at a discounted price on a secondary market and then using numerous methods to sell the debt for more than the purchasing price. g. Elliott joined other funds in opposing the deal, including Germany's second-largest fund manager, Deka Investments. Distressed debt hedge funds, for example, notched up gains of 36 per cent and 23 per cent in 2009 and 2010 respectively. What is an “Event-Driven Hedge Fund”? Event-Driven Hedge Funds Definition: Event-driven hedge funds bet on specific corporate actions, such as M&A deals, divestitures, spin-offs, bankruptcies, and business reorganizations, and they profit based on changes in the value of a company’s debt or equity after the action. [15][16] As reported in The Washington Post on June 26, 2011, Oaktree's 17 distressed-debt funds (which do not use leverage) have averaged annual gains of 19% after fees for the past 22 years. Several U. If you haven’t heard, distressed debt remains popular with hedge funds. A vulture fund is a hedge fund or private-equity fund that invests in debt considered to be very weak or in default, known as distressed debt. The general partner maintains full management control over investment decisions and daily operations while bearing unlimited personal liability for the fund’s debts and obligations. Founded by two former Deutsche Distressed debt strategies tend to be employed by hedge funds, private equity funds, and specialized debt managers. Source: Institutional Investor 'The Hottest Private Debt Managers' Angelo Apollo Aurelius Avenue Baupost Brigade Canyon Centerbridge Cerberus Davidson Kempner Elliott Fortress GSO Highland Discover key strategies for distressed debt funds list: Trading, Non-Control, Control Investors, and Turnaround Tactics. Hedge funds that bought into the deal have been badly burned. The specific problem stems from the Investment Company Act of 1940, which requires most investment funds to register with SIFMA is the voice of the U. Bloomberg recently profiled a new UK fund that’s raised more than $500 million to invest. Here’s a closer look at some of the top distressed debt funds to keep an eye on this year: Apollo Global Management: Renowned for its expertise in alternative investments, Apollo Global Management continues to be a dominant player in the distressed debt market. Primarily focused on shops that will recruit out of banking but also want to hear about places, particularly hedge funds, that will want to hire people later in their career with previous buyside experience. Falling in the world allocation peer group, this fund holds more fixed income than other Mutual Series offerings, keeping about 55% to 75% of the fund in cheap stocks and merger arbitrage with the . Learn the essentials of distressed debt investing, a high-risk, high-reward strategy involving the purchase of debt from financially troubled companies. Distressed Debt Funds Experience Declining Performance Trends In recent years, the distressed debt funds have experienced a decline in performance due to limited availability of attractive distressed assets. [10] Hedge fund allocators may find the current situation reasonably analogous to the events starting in late Q4 2018 with concerns over global trade, slowing economic growth particularly out of China Eurekahedge’s trusted hedge fund indices can be found on our platform alongside our suite of indices, giving you easy access to all your performance benchmarks and industry trends in one place. The Top Hedge Funds are compiled in the following list, ranked based on their assets under management (AUM). For the purposes of the PDI 200, capital raised means capital definitively committed to a private debt direct investment programme. Distressed debt funds target companies that are in financial distress and acquire their debt at significant discounts. 6 Financial advisors who wish to consider distressed debt strategies may seek out specialty funds exclusively focused on these opportunities or ones that incorporate distressed debt within a more broadly diversified portfolio. If I missed anyone or you would like to be added to the list, please email me (hunter [at] distressed-debt-investing. 4ugb, kxlmrn, qxygf, 43st, qvlyev, itvc, jynjp, yree4v, nxhpu, ljpj7,