0
Add funds
Fund 1
Fund 2
Fund 3
Fund 4
Contact us
Contact Nuveen
Thank You
Thank you for your message. We will contact you shortly.
Private Capital
Top 5 reasons to consider an allocation to private capital
Investors today are re-evaluating risk and reward in their portfolios. Private credit and private equity can fulfill a need for stability, diversification, performance and yield.
1. Income potential
Private credit can play an important role in portfolio construction to help diversify sources of yield and increase overall income potential.
2. Risk-adjusted returns
Highly selective, diversified private capital portfolios can provide attractive returns.
3. Interest rate protection
The floating rate nature of senior middle market loans positions the asset class well for an environment with rising interest rates, while also demonstrating relatively stable returns in declining rate environments.
4. Diversification
Private market assets can serve as a less correlated portfolio diversifier.
5. Volatility management
Private capital valuation methodologies are robust, often led by third party providers, and driven by true credit fundamentals vs the volatility of market sentiment.
Past performance does not predict or guarantee future results. Diversification does not assure profit or protect against loss of capital.
1 Bloomberg, 4Q 2015 to 4Q 2024. “MM Direct Lending” is represented by Cliffwater Direct Lending Index. “Broadly Syndicated” is represented by Morningstar LSTA US Leveraged Loan 100 Index. “High Yield” is represented by ICE BofA US High Yield Index.
2 “Private Equity” and “Junior Capital” are represented by Cambridge Associates Private Investment Benchmarks. “MM Direct Lending” is represented by Cliffwater Direct Lending Index. “High Yield Bonds” is represented by the Bloomberg US Corporate High Yield Total Return Index. “Broadly Syndicated Loans” is represented by the
Morningstar LSTA US Leveraged Loan 100 Index. Index data is presented for the period since earliest common inception date from 4Q 2015 to 4Q 2024.
3 Source: Bloomberg, 10-Year U.S. Treasury Change: Board of Governors of the Federal Reserve System (US). Periods shown represent significant rate increases or decreases totaling approximately 1% or more. MM Direct Lending” is represented by the Cliffwater Direct Lending Index. “High Yield” is represented by the Bloomberg US Corporate High Yield Total Return Index. “Investment Grade Bonds” is represented by the Bloomberg US Aggregate Bond Index. Index data is presented for the period since earliest common inception date on 01 Oct 2015 through 31 Dec 2024.
4 Source, Bloomberg, 01 Oct 2015 through 31 Dec 2024. “MM Direct Lending” is represented by the Cliffwater Direct Lending Index. “Broadly Syndicated” is represented by the Morningstar LSTA US Leveraged Loan 100 Index . “High Yield” is represented by the Bloomberg US Corporate High Yield Total Return Index. “Corporates” is represented by the Bloomberg US Corporate Bond Index. “Treasuries” is represented by the Bloomberg US Treasury Index.
5 Source, Bloomberg, 01 Oct 2015 through 31 Dec 2024. “MM Direct Lending” is represented by Cliffwater Direct Lending Index. “Broadly Syndicated” is represented by Morningstar LSTA US Leveraged Loan 100 Index. “High Yield” is represented by ICE BofA US High Yield Index. “Investment Grade Bonds” is represented by the Bloomberg US Aggregate Bond Index. “Treasuries” is represented by the Bloomberg US Treasury Index. Total Return Unhedged USD. As of Sep 30, 2024.
The views and opinions expressed are for informational and educational purposes only as of the date of production/writing and may change without notice at any time based on numerous factors, such as market or other conditions, legal and regulatory developments, additional risks and uncertainties and may not come to pass. This material may contain “forward-looking” information that is not purely historical in nature. Such information may include, among other things, projections, forecasts, estimates of market returns, and proposed or expected portfolio composition. Any changes to assumptions that may have been made in preparing this material could have a material impact on the information presented herein by way of example.
All information has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information and it should not be relied on as such. For term definitions and index descriptions, please access the glossary on nuveen.com.
Please note, it is not possible to invest directly in an index.
Important information on risk
Investing involves risk; principal loss is possible. Debt or fixed income securities are subject to market risk, credit risk, interest rate risk, call risk, derivatives risk, dollar roll transaction risk and income risk. As interest rates rise, bond prices fall. Below investment grade or high yield debt securities are subject to liquidity risk and heightened credit risk.
Foreign investments involve additional risks, including currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. Please note investments in private debt, including leveraged loans, middle market loans, and mezzanine debt, are subject to various risk factors, including credit risk, liquidity risk and interest rate risk.
This information represents the opinion of Nuveen, LLC and its investment specialists and is not intended to be a forecast of future events and or guarantee of any future result.
Information was obtained from third party sources which we believe to be reliable but are not guaranteed as to their accuracy or completeness. There is no assurance that an investment will provide positive performance over any period of time.
Please be advised, this content is restricted to financial professional access only.
Login or register as a financial professional to gain access to this information.
Not registered yet? Register