Displaying items by tag: alts

Despite favorable regulatory developments and the announcement of a Strategic Bitcoin Reserve, crypto markets saw a sharp pullback in early March, with bitcoin, ether, and solana all declining. Some of the disappointment stemmed from the fact that the reserve would consist solely of assets seized through law enforcement rather than direct government purchases. 

Bitcoin’s latest quadrennial halving on April 20, 2024, historically a catalyst for massive rallies, has yielded a more tempered 30% gain so far, possibly due to more efficient market pricing. Ether and solana have closely tracked bitcoin’s movements, with correlations consistently high, reinforcing the idea that broader market sentiment is driving price action. 

Unlike previous post-halving periods, miners' transaction revenues have remained relatively stable, suggesting that extreme price volatility may be less likely this cycle. 

Finsum: Slowing  growth in transaction volumes hints at a maturing crypto market, with daily bitcoin transactions dipping in early 2025 even as futures trading remains active.

Halo Investing has secured $12 million in Series B funding to enhance transparency and competition in structured notes investing. Backed by investors like Allianz Life Ventures and William Blair Circle, the platform aims to make structured notes more accessible by eliminating traditional high minimum investment requirements. 

As the world’s first independent, multi-issuer technology platform for structured notes, Halo enables advisors to offer protective investing in an unbiased, data-driven manner. CEO Jason Barsema emphasized the company’s mission to provide equal investment opportunities for all, from everyday investors to corporate executives. 

The platform streamlines order management, enhances compliance, and optimizes back-office efficiency for issuers and wealth managers. 

Finsum: With this latest innovation, structured notes are a rapidly developing investment framework.

Global private credit is staging a recovery from a decade-low slump, driven by stronger-than-expected global GDP growth and a gradual shift toward looser monetary policy. 

Although deal activity remains below historical norms, transaction volumes grew 7% last year, with deal values rising 15% to $3.5 trillion, bringing the market closer to pre-pandemic levels. Despite lingering valuation gaps and geopolitical uncertainty, optimism is building for a stronger M&A rebound in 2025, which could further boost private credit’s rapid ascent as an alternative financing source. 

The asset class has cemented itself as a critical pillar of corporate lending, filling the gap left by traditional banks and offering borrowers more tailored, flexible funding solutions. Investors are increasingly drawn to private credit’s ability to deliver stable returns and diversify portfolios, fueling further expansion in the sector. 

Finsum: As dealmaking momentum builds, firms are poised to capitalize, leveraging their global network and deep industry expertise to connect capital with opportunity.

Climate technologies are advancing from early innovation to the critical scaling phase, where private equity firms are stepping in to bridge funding gaps. Private equity investors play a vital role by providing capital and operational expertise to transform climate innovations into scalable, market-leading businesses. 

Firms like General Atlantic and Ardian are integrating sustainability into their investment strategies, using data-driven insights to enhance both commercial success and decarbonization efforts. 

Institutional investors increasingly demand quantifiable impact, prompting firms to assess companies not just on financial returns but also on emissions reduction potential. Key investment opportunities lie in grid infrastructure, e-mobility software, and carbon transparency solutions, as demand for sustainable energy and efficiency grows. 

FINSUM: This hands-on, impact-driven approach is reshaping climate finance, positioning private equity as a crucial driver of the energy transition.

The valuation gap between public and private real estate has persisted, creating potential buying opportunities for investors. REITs have generally maintained higher or comparable occupancy rates relative to private real estate across major property sectors. 

They also remain more attractively priced, with cap rates exceeding those of private real estate, suggesting better value. In the fourth quarter of 2024, public-private cap rate spreads ranged from 80 to 169 basis points, highlighting REITs' pricing advantage. 

Strong operational management and asset selection contribute to REITs' higher occupancy rates, particularly in retail and office spaces. 

Finsum: REITs continue to offer investors access to high-quality properties at compelling valuations and could provide more inflation resistance.