In order to meet the challenge posed by persistently low interest rates and to address investors’ need for diversification, private debt financing of real assets is a potential source of performance. In addition, it helps to finance the real economy. To meet the needs of institutional investors, Natixis Asset Management has launched a new area of management expertise, real asset private debt, combining three complementary, high potential sectors: real estate, infrastructure and aircraft.
A diversifying asset class offering attractive upside potential
Real asset private debt offers significant benefits in the current environment:
- It represents an alternative to traditional investments and traditionally reduces portfolio volatility;
- It offers a wide range of potential yields depending on the investor’s appetite for risk;
- It represents a source of diversification for bond portfolios.
A comprehensive range managed by an experienced, recognised team
Headed by Laurent Belouze, who has over 20 years’ experience in financing infrastructure projects, and reports in to Natixis Asset Management’s fixed income division, the new real asset private debt area of expertise covers three complementary sectors considered to be high potential:
- Real estate, managed by Arnaud Heck, with 19 years’ experience in private debt management;
- Infrastructure, managed by Céline Tercier, with 19 years’ experience in private debt including 10 years in infrastructure;
- Aircraft, managed by Aymeric Angotti, with 14 years’ experience in the sector, including 5 years in aircraft structured finance.
Strong growth ambitions
By the end of 2016, Natixis Asset Management’s objective is to launch a comprehensive range of debt products: a second real estate debt fund of €750 million, Senior European Loan Fund II [1], the first closing of which occurred in March 2016, an infrastructure debt fund denominated in dollars and euros, an aircraft debt fund and a junior debt fund invested in aircraft and/or real estate assets.
Ibrahima Kobar, Co-CIO in charge of fixed income products at Natixis Asset Management, says: “Natixis Asset Management is very ambitious for the new real asset private debt activity: by 2018, we aim to have close to three billion euros in assets under management and a dedicated team of fifteen specialists.”
