A new paper by bfinance has examined more than 130 launched and soon-to-be-launched funds seeking investment opportunities post-COVID-19.
The paper, entitled Dislocation and Distress: Navigating New Opportunities, notes that funds focusing on real assets, such as property, infrastructure, development land, aircraft and ships, will acquire these assets or the debt secured on them at a discount to their “true” value.
“Positions will be acquired in the secondary market from sellers who no longer have the appetite to hold,” states the report, which cautions that there will likely be ESG issues associated with taking possession of properties acquired through bankruptcy proceedings.
The paper also analyzed several other subcategories for opportunistic investment, including private credit, public markets and evergreen opportunities.
The report reminded investors that new funds will face a lot of competition from existing vehicles because there i
