Wall Street is rushing to bring alternative assets to the mass affluent, often through interval funds that are registered with the Securities and Exchange Commission and offer investors monthly or quarterly liquidity. And when it comes time to lever these funds, money managers are also turning to tools found in private equity and credit markets, such as subscription credit lines and asset-backed credit facilities.
Below, we look at how StepStone Group and Blackstone Inc. are using credit facilities to scale retail-facing funds, how Schonfeld Strategic Advisors is applying leverage to a portable alpha strategy, and a roundup table of other recent fund financing deals.