Ninepoint Monroe US Private Debt Fund is targeting “close to a billion dollars”, Ramesh Kashyap, a managing director and group head of Ninepoint’s alternative income group, told Private Debt Investor on Wednesday shortly after the launch was announced.
Monroe will serve as the advisor to the fund, which will make investments into US-based mid-market companies that have annual revenues between $10 million and $1 billion, according to a press release.
Kashyap said this fund offers a “great opportunity” for the investor pool of ultra-high-net-worth individuals and family offices Ninepoint works with to break into US mid-market products.
“Outside of large institutional investors, investors have limited or no access,” Kashyap said of the market. “Many ultra-high-net-worth individuals and family offices in Canada are looking for access to something like a Monroe product.”
Kashyap added that Ninepoint looked at many potential US firms to partner with, but Monroe was the right choice due to its team, performance and reputation.
“We came to the conclusion that they are best in class,” Kashyap said. “We wanted to work with someone who has been in this business for a long time and has gone through a few cycle downturns.”
Ted Koenig, president and chief executive officer of Monroe, told PDI that this fund will help the firm distribute its investment product to the Canadian ultra-high-net-worth investor market that it is looking to target.
“We believe that Ninepoint shares our culture and our views on delivering best-in-class products to their customers,” Koenig said. “We thought they would make the best partner because of the depth, breadth and reach they have in the Canadian ultra-high-net-worth retail market.”
Monroe Capital is a Chicago-based mid-market lender. It was founded in 2004 and has made more than $7 billion in capital commitments since. Ninepoint Partners is a Toronto-based independent asset manager with more than $2.5 billion in assets under management.