The Matheson Fund Finance team recently sponsored and attended the 2026 Global Fund Finance Association Symposium in Miami.
Overall, the market outlook for the fund finance industry in 2026 is optimistic. It was a pleasure to connect with industry colleagues (old and new) and discuss the trends, challenges and developments we are seeing in the fund finance market.
We discussed a number of varying topics including the following:
- The growing use of securitisation technology by asset managers and banks in the fund finance space. In particular, the rapid growth of the ABLs, CFOs and rated note feeders was a consistent theme. For more information on rated note feeders, see here.
- The prevalence of continuation vehicles (CVs) as an alternative to secondary buy-outs and the increased use of financing in these structures. Investors are becoming more familiar with the rationale and benefits for CVs, with a number of new CVs expected throughout 2026.
- The European NAV market has, in particular, led to product growth. NAV financings have become a well-established liquidity tool for GPs and fund sponsors to support portfolio investments, enhance returns and refinance maturing subscription line financings. Hybrid facilities are also continuing to prove popular.
- CRD VI was, unsurprisingly, a big focus for lenders looking to participate in cross-border lending into the European Union. For more information on CRD VI, see our recent client briefing here,
- Back leverage products continue to evolve and also capitalise on securitisation technology where appropriate. Coupled with this, there is a continued trend of cooperation between bank and non-bank / private credit lenders.
- Subscription line financings remain in demand, with stiff pricing competition. GPs are also seeking higher advance rates and more bespoke financings such as term loan tranches (rather than more traditional revolving facilities).
- An increase in syndicated fund finance facilities as opposed to more traditional bilateral offerings.
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