Pantheon, a leading global private markets investor, has filed to register an evergreen private credit fund anchored in private credit secondaries.
The AMG Pantheon Credit Solutions Fund (PSECC) will become the latest addition to the firm’s growing, global evergreen platform and will be the first of its type to deliver a private credit secondaries-focused investment strategy to the US private wealth market.
According to a company release, this development reflects the continued expansion of Pantheon’s global evergreen platform, which also includes the $2.3 billion AMG Pantheon Fund, one of the largest registered private equity funds in the US.
PSECC is designed to offer prospective investors a core private credit exposure, diversified by manager, vintage year, industry sector and company. “The fund will seek to acquire and build a carefully selected portfolio of high-quality, performing private credit at discounted pricing, providing the potential to generate strong, risk-adjusted total returns with an attractive income stream,” Pantheon said.
“We believe the fund will be positioned to benefit from several key strengths of secondary investing, including the potential for attractive discounts that can enhance returns and mitigate against potential defaults, as well as greater diversification, shorter durations and more immediate distributions compared to private credit alternatives,” the statement added.
PSECC’s focus reflects the rapid evolution of private markets secondaries, fuelled by the substantial growth in private credit over the past decade, as well as the increasing demand for liquidity and portfolio management solutions from both fund managers and investors.
“We see a strong opportunity for investors to capitalise on the supply-demand imbalance of capital and expertise in this space, similar to the evolution of secondaries across private equity, infrastructure and real assets,” says Rakesh (Rick) Jain, Pantheon Partner and Global Head of Private Credit.
PSECC will be the second vehicle launched within Pantheon’s US Private Wealth division and will sit alongside the AMG Pantheon Fund. The firm’s broader private wealth platform manages more than $5.8 billion globally across a range of evergreen solutions.
Pantheon has been investing in private markets secondaries since 1988. With more than $3 billion in client assets dedicated to private credit secondaries, the firm is positioned as one of the largest and most experienced investors in the space. More broadly, Pantheon has been investing in private credit since 1997 and its dedicated practice has $6.7 billion in assets under management.
