Navigating Private Credit: Restructuring Dynamics and Market Evolution

This session is tailored for professionals with a solid foundation in private credit, alternative investments, and corporate finance.

As private credit matures as an asset class, the emphasis is increasingly shifting from capital deployment to disciplined portfolio management and downside protection. A more challenging macroeconomic environment, characterized by elevated interest rates, tighter liquidity, and growing borrower stress, is bringing restructuring considerations to the forefront. Understanding how these dynamics influence credit performance and recovery outcomes is now critical for investors and lenders alike.

The session opens with a presentation by an APAC private credit specialist from Invesco. Using structural data from the US and European credit markets, the speaker will address:

• Market Snapshot and Segmentation: An analysis of the current multi-trillion-dollar scale of global private debt, shifting capital flows, and the asset allocation split across direct lending, mezzanine debt, and special/distressed situations.
• Risk-Adjusted Returns in a Higher-for-Longer Regime: How macroeconomic factors—including sticky inflation and elevated base rates—impact underlying loan performance, credit underwriting standards, and portfolio yields.
• Portfolio Restructuring and Loss Recovery: A practical review of how asset managers navigate debtor distress out of court—via covenant amendments, liquidity exercises, and debt-to-equity swaps—highlighting key drivers of asset recovery rates through real-world case studies.

This will be followed by a panel discussion featuring experienced market practitioners, who will share perspectives on the evolving private credit landscape. Topics will include shifts in fund structures, regulatory developments, and regional market dynamics. Panelists will also address how underwriting standards are adapting, where they are identifying attractive risk adjusted opportunities in the current environment, and how private credit is competing with and complementing syndicated loan markets.

Remarks

1. Registration is mandatory; no walk-ins will be entertained. Only registered participants are allowed to stay and attend the event.
2. For paid events, registration is only confirmed upon receipt of payment. If the registration fee remains outstanding, CFA Society Hong Kong reserves the right to disallow entrance to the event.
3. Cash and cheque payments are strictly not accepted. Participants should ensure that online payment is successfully completed; otherwise, registration may not be processed.
4. An administration fee of HK$50 will be charged for any cancellation of confirmed enrollment made on or before 15 July 26. All cancellation requests must be made in writing and confirmed by email from CFA Society Hong Kong. A refund of the event fee, less the administration fee of HK$50 per person, will be issued for eligible cancellations. The full event fee will be charged for no-shows or cancellation requests after 15 July 26.
5. For payments made by credit card, eligible refunds will be processed through the bank, and participants should allow 4 to 6 weeks for processing. The amount will be refunded to the paid credit card account.
6. Substitutions are allowed, but participants must notify CFA Society Hong Kong prior to the event. Any fee difference resulting from ticket type or the early bird period must be settled to confirm the substitute's registration and seat.
7. The event organizers reserve the right to change the format or date of the event due to unforeseen circumstances without prior notice.
8. Should there be any changes to the event dates or other arrangements, participants will be notified via SMS and/or email. Notices will also be posted on the CFA Society Hong Kong’s website, so participants should stay alert for notifications.
9. For attendance-taking purposes, participants’ names and company names (if applicable) may be provided to the speaker of this event.
10. If participants experience any discomfort or flu symptoms, they should not participate in the event.
11. Participants should take good care of their belongings. CFA Society Hong Kong is not responsible for any personal loss.
12. To ensure a safe and enjoyable environment for everyone, participants are expected to treat fellow attendees with respect. Abusive or threatening behavior will not be tolerated, and individuals who behave inappropriately may be asked to leave the event.
13. To qualify for CPT/CE hours, all participants must attend the full event. After the event, Society staff will verify participants’ check-in and check-out times from the registration system for the purpose of issuing CPT Attendance Letters, and no pro-rata credit hours will be awarded.
14. No requests for attendance letters will be processed.
15. In the event of a dispute, the decision of CFA Society Hong Kong shall be final and binding.