We Don’t Time Cycles, We Manage Cycles

By Nicole Downer

We Don't Time Cycles, We Manage Cycles

  • MV Credit has been investing in private debt in the same way for 20 years without never trying to play a cycle. In parallel private debt has gained traction in investors’ allocation.
  • MV Credit gained experience and built strong sponsor relationships during the GFC unlike some of its competitors created after 2008 and experiencing today their first downturn. Direct lenders and private debt firms have emerged as banks retrenched from the senior debt market.
  • Investing in higher-yielding distressed debt at the right time is not easy, resulting in uneven performance among managers. ESG-conscious LPs may be left conflicted with distressed debt. 
  • Private debt suits long-term investors with patient capital. LPs expects private debt firms to provide consistent returns throughout multiple cycles. MV Credit does not time cycles but seeks to build portfolios that are resilient through the cycles.
Published in July 2020

MV Credit Partners LLP
Registered Number : OC397214
Authorised and Regulated by the Financial Conduct Authority (FCA) with the FCA register number 67717.
45 Old Bond Street
London W1S 4QT
www.mvcredit.com

Natixis Investment Managers
RCS Paris 453 952 681
Share Capital: €178 251 690
43 avenue Pierre Mendès France
75013 Paris
www.im.natixis.com

This communication is for information only and is intended for investment service providers or other Professional Clients. The analyses and opinions referenced herein represent the subjective views of the author as referenced unless stated otherwise and are subject to change. There can be no assurance that developments will transpire as may be forecasted in this material.

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