May 16, 2017
The $19.5 Billion Dollar Industry No One Was Paying Attention To:
The $19.5 Billion Dollar Industry No One Was Paying Attention To: Interval and Closed-End Funds May 16, 2017 | by Jared Schneider | Blue Vault Recent headlines have continued to talk …

Read more

didyouknow_sponsorcorner-_blog

The $19.5 Billion Dollar Industry No One Was Paying Attention To:

Interval and Closed-End Funds

May 16, 2017 | by Jared Schneider | Blue Vault

Full-length confident person in formal suit. A sketch of New York city and forex chart on the background. A concept of the asset management.

Recent headlines have continued to talk about the decline in sales of some alternative investment types, but what is not discussed is the growth in other alternative investments. For example, the combination of interval funds and nontraded closed-end funds (“nontraded CEFs”) amounts to approximately $19.5 billion in assets under management as of December 31, 2016.

While many in the alternative investment industry have been focused on other investments, these nontraded CEFs and interval funds have been quietly growing, with big asset manager names like PIMCO, Blackstone, BlackRock, Apollo, Invesco, FS Investments and Griffin Capital. In 2016 alone, net capital inflows were well over $3 billion. There are a few reasons why these investments have been picking up steam as of late.

ifcef__staffsignature

One reason is that the structure allows for regular liquidity provisions through a tender offer or repurchase program, although still a relatively illiquid investment. Liquidity typically comes as a via a quarterly liquidity program versus daily as in a mutual fund structure.

Another reason is that the valuation policies allow the investments to sit in an RIA (registered investment adviser), hybrid, or self-directed brokerage account more easily.

Additionally, multiple share classes can accommodate different classes of investors and types of brokerage accounts.

There are drawbacks, of course, and Blue Vault will cover these topics in future articles. We will also delve into the types of assets in which these broad-reaching funds invest. For more information on Interval Funds and Nontraded CEFs, see our Interval Fund and Nontraded CEF Review.

Recent

Inflation playbook – Managing through an inflation cycle

Inflation playbook – Managing through an inflation cycle

Inflation playbook - Managing through an inflation cycle April 26, 2023 | MercerInsight Community Speed read • After the 2021-2022 inflation shock, we enter 2023 with signs that cyclical inflation is easing, especially in the US. We anticipate inflation stabilizing near central bank target levels over the next one to three years, but recognize there…
The Importance Of Communication

The Importance Of Communication

The Importance Of Communication October 18, 2022 | Marketing Intent Everybody understands the importance of communication in projects, in your day-to-day, in work life and in everything that you do. But sometimes the effectiveness of our communication gets lost in the shuffle. LET’S TALK ABOUT HOW TO EMPHASIZE OPEN COMMUNICATION WITH CLIENTS. Focusing on Communication…
ExchangeRight: Cashflow & FFO

ExchangeRight: Cashflow & FFO

In this clip from Alts Week 2022, Warren Thomas (ExchangeRight) summarizes ExchangeRight's cashflow & FFO for...

Most Popular

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update 10-3-2023 Blue Vault wishes to acknowledge and apologize for the delay in publishing some Q2 2023 NTR Individual Performance Pages (IPPs) as well as the full review. We recently added additional reporting metrics to our IPPs, and that, combined with coverage of all share classes and some additional…
Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update 9-25-2023 Blue Vault has published the Q2 2023 Nontraded BDC Industry Review as well as Individual Performance Report and Limited Operations pages for the following offerings (newly published pages in bold font): Nontraded REITS American Healthcare REIT Q2 2023 Apollo Realty Income Solutions Q2 2023 (limited operations) Ares…

Explore

Blue Vault Logo
Don’t miss alts news
and educational events

Subscribe Now