Canada’s Sagard launches retail private credit fund
Canadian alternative asset manager Sagard has launched a private credit fund that will be open to the retail market.
The firm said that the Sagard Private Credit Fund will be formally launched in partnership with fintech platform iCapital and it will begin accepting subscriptions from accredited investors in Canada in the coming months.
Sagard said that the evergreen fund will invest alongside institutional investors in a broadly diversified portfolio of private credit investments, composed mainly of private loans originated by Sagard, together with more liquid credit securities.
The fund will focus on the middle market, with target annual returns of nine to 10 per cent. Investors will be able to subscribe to the fund through their investment advisers each month, with quarterly redemptions available.
Read more: Sagard closes first senior lending fund with $741m
Sagard is a global asset manager with more than $25bn (£19.7bn) of assets under management. Its credit business, including its strategic partnership with HalseyPoint, together manage $6bn in assets including $2.8bn under its private credit and senior lending strategies.
“The Sagard Private Credit Fund will harness our tenured team’s institutional-calibre credit origination capabilities to give Canadian accredited investors the opportunity to participate in this attractive asset class,” said Adam Vigna, co-founder and chief investment officer at Sagard.
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“Private credit can deliver higher returns with lower volatility than most other fixed-income alternatives, and our team knows this space extremely well, having invested in this asset class for over 20 years. We are thrilled that the fund will give more individuals access to private credit, which can be a great complement to a diversified portfolio.”
Sagard plans to launch additional investment products for accredited investors in the coming months.
Read more: Canada’s Next Edge gates and winds down private credit fund
