
Fresh insights on opportunistic credit in an uncertain world
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On this episode I speak with HighVista Strategies Deputy CIO, Raphael Schorr about how the firm is pursuing investments in opportunistic credit.
With the shut down of the IPO and SPAC markets, tens of thousands of companies are looking for funding. The withdrawal of liquidity is creating some unique conditions and requiring some great companies to look for debt financing as less equity capital becomes available.This is creating some interesting themes in the lower end of the growth equity and VC market, venture debt, as welll as in real estate assets that need redevelopment and are looking for creative financing solutions.
In Schorr's view, those opportunities are just starting "and we think the US and Europe will be ripe for special situations over the coming quarters."
Many deals are being done on repriced terms and on a day-to-day basis risk is being repriced. Schorr mentions that this makes it a more difficult, but more exciting market for credit underwriters in the current macro environment.
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