Boston-based HighVista Strategies held the final close of its second private credit fund at $450 million with a focus on generating returns by investing in more “off-the-run” areas than traditional private markets.
HighVista Opportunistic Private Credit Fund II will invest in pockets of dislocation and in uncorrelated areas that are more challenging to underwrite and require more work to access. HighVista’s opportunistic approach also seeks to partner with specialist firms who understand particular markets and industry segments.
“The strong conviction our team brings to opportunistic credit investing, coupled with our team’s experience and pattern recognition, will serve our investors well going forward, and we would like to than them for their ongoing support,” said Raphi Schorr, partner and deputy chief investment officer at HighVista, in a statement. “We are excited by the opportunity set that the team is seeing today.”
Earlier this year Alternatives Watch caught up with Schorr, who outlined the potential for high directional returns in an interview.
Continuing with the strategy that HighVista pursued in its predecessor credit fund, Fund II will take a multi-strategy approach and invest in real estate-backed credits, corporate credits, and uncorrelated credit opportunities. HighVista has experience investing in a broad range of specialized credit markets, several of which have become more attractive in the current economic environment.
Principal at HighVista Ben Radinsky, added, “Typically, these are markets that are undercapitalized when compared to direct lending or traditional credit markets, offering the potential for higher risk-adjusted returns for those who can underwrite and structure transactions appropriately.”
