Collateralized Fund Obligations: The New Way Investors Are Financing Private-Market Portfolios
Private markets have created an unusual liquidity problem: investors can own valuable portfolios of private equity, private credit and other fund interests while still struggling to turn those assets into cash without selling them. That tension is helping collateralized fund obligations, or CFOs, gain attention. Rather than immediately selling a portfolio of private-market interests, a […]
The Hidden Assets Behind the Asset-Backed Finance Boom
Some of the most important new sources of credit are being built around assets that rarely appear in conventional investment narratives. The opportunity is not necessarily another corporate loan or another bet on a company’s balance sheet. Increasingly, investors are looking at the economic activity underneath the borrower: payments, leases, contracts, infrastructure revenues, intellectual-property income […]
Why Asset-Backed Finance Is Moving Beyond Traditional Banking
Credit is increasingly being provided by a wider range of institutions than traditional banks and the assets supporting that credit are becoming increasingly important. Asset-backed finance sits at the center of this shift, connecting borrowers and investors through receivables, equipment, real estate, consumer loans, infrastructure and other assets that generate identifiable cash flows. The change […]
