HSBC Asset Management (HSBC AM) has completed the anchor fundraising round for its first net asset value (Nav) Financing Partnership Strategy, securing $1 billion from global institutional investors.
The fundraising was supported by insurance companies, pension funds and entities within the HSBC Group. The strategy will remain open to additional investors through 2026 and into 2027.
The strategy invests in a diversified portfolio of senior secured loans supporting the growth of portfolio companies held by private equity funds in Europe and Asia. The loans are backed by the NAV of the underlying private equity portfolios, investment-grade rated and follow Institutional Limited Partners Association disclosure standards.
Managed by HSBC AM’s capital solutions team, the strategy seeks to provide investors with risk-adjusted returns through a conservative underwriting approach and secured financing structures, shared the asset manager.
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The strategy also has a partnership with HSBC Bank plc, a player in the Nav financing market.
Thorsten Michalik, CEO, HSBC Alternatives, said: “Our strategy continues to attract sustained interest from well-established insurance and pension investors, as well as sophisticated family offices, seeking access to a performing and resilient asset class at this point in the cycle.”
Borja Azpilicueta, head of capital solutions, HSBC AM, said: “We are focused on financing mid-market, real economy private equity portfolios and private equity managers at a time when this form of capital is key to anchoring their next phase of growth.”
