Pimco to launch European retail private credit fund
Pimco is preparing to launch its first European private credit fund for retail investors.
The Financial Times has reported that the US bond manager has secured informal approval from regulators in Luxembourg to create a vehicle called the Pimco Diversified Private Credit Fund.
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The fund will be run by senior fund managers including Pimco’s chief investment officer Dan Ivascyn, and will be accessible to non-institutional investors.
The fund launch reflects the growing appetite for private credit solutions amongst Europe’s high net worth individuals (HNWIs).
A number of high-profile private credit managers have launched products for the European retail market in recent months, as investors and advisors seek to diversify their portfolios away from the volatility of public markets.
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Earlier this year, Standard Chartered said it has seen “material” demand from HNWIs for its newly-launched European direct lending fund.
And in February Ares reported that its Ares European Strategic Income Fund (AESIF) had attracted more than €2.2bn (£1.8bn) primarily from wealthy individuals, just one year after its launch.
Pimco recently signalled its interest in boosting its European presence by appointing former ATLAS SP Partners executive Jason O’Brien as executive vice president, head of asset-based originations, EMEA.
Pimco is believed to have approximately $162bn (£121.7bn) under management in alternative credit and private strategies globally, and approximately $2tn in total assets under management.
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