NAV Finance

 

The market for NAV finance is estimated at around $100 billion and projected to reach $700bn by 2032.   Investment in NAV finance  offers distinct benefits to institutional investors including attractive returns with a solid investment grade risk profile.  

(Source: Preqin, October 2023.  Future of Alternatives 2028 Report)

Fund Finance through the life cycle of a fund

 

What is NAV Financing?
  • Loans to private market funds for funding acquisitions, equity injections, or capital distribution. Loans are collateralized by the fund’s assets.

  • Focus on low LTV (10-20%) financing single PE funds.

Why invest?

Risk adjusted returns of Euribor +225-400bps

Diversification to alternative risk drivers

High asset coverage and strong structural protection resulting in solid investment grade risk profile

Why Aegon AM?

 

  • Strong track record

    • Over €3.5 billion in Fund Finance investments in both Capital call facilities and NAV Finance.

    • No credit migration, no credit losses to date.

  • Sourcing and Alignment

    • Aegon AM offers Co-investing next to strategic investors within Aegon Group  

    • Proven origination strategy through bank network, creating alignment of interest with key lenders in the market.

    • Preferred partner of choice based on longstanding relationships and execution certainty.

  • Credit, legal, and ESG analysis and monitoring using proprietary and in-house developed approaches  

Fund information

 

SICAV – RAIF domiciled in Luxembourg due to launch 2025, subject to regulatory approval.