400 Capital Management LLC, an alternative credit asset manager specialising in structured credit with over USD4.4 billion of capital under management, has held the final close of its Asset Based Term Fund II (ABTF II) at more than USD430 million, above its USD400 million target.
“400CM’s ABTF series continues to provide our investors access to unique, innovative and opportunistic credit investments that require a patient capital approach and seeks to provide attractive absolute returns,” says Chris Hentemann, Managing Partner and Chief Investment Officer.
“Despite recent market volatility, the private credit investing landscape is as attractive today as anything we have seen in many years. There continues to be demand for patient, private capital to support regulatory capital, risk-sharing, balance sheet management, product development and dislocated markets. We look forward to continuing to execute on the opportunity set with our partner investors,” Hentemann continues.
The close of ABTF II follows the Firm’s successful launch of ABTF I in 2017, which raised USD206 million and is now fully invested. ABTF II invests in illiquid credit opportunities across public and private credit markets in the US and Europe, primarily in the residential real estate, commercial real estate, consumer finance and specialty finance markets.
The strategy aims to take advantage of market dislocations in structured products that produce significant liquidity premiums across a wide variety of asset classes, including US Bank and GSE risk transfer solutions, European bank deleveraging and specialty finance opportunities where regulated financial institutions do not participate.
As of this release, ABTF II has been able to take advantage of the significant market disruptions this year and has already deployed approximately 80 per cent of its committed capital.