Public Non-Traded BDCs Post a Record $35 Billion of Capital Formation
Shrewsbury, New Jersey, January 24, 2025 – Robert A. Stanger & Company, Inc., a nationally recognized leader in non-listed alternative investment products, has published its December 2024 issue of The Stanger Market Pulse, complete with fundraising data of all alternative investments offered via the retail pipeline. These include public non-traded REITs, non-traded BDCs, interval funds, non-traded preferred stocks, Delaware statutory trusts, opportunity zone funds, private BDCs, private REITs and other private placements including infrastructure and private equity offerings.
Alternative Investment fundraising exceeded $122 billion for 2024 surpassing the 2022 high water mark of $105 billion by nearly $17 billion, led by publicly offered non-traded BDCs at an estimated $35.5 billion and interval funds at $29.5 billion. Public non-traded and private REITs combined for over $11 billion while all private placements tracked by Stanger (including private REITs, DSTs, opportunity zone funds, private BDCs and other infrastructure and private equity offerings) racked up over $42 billion of combined fundraising. The industry continues to transform as investors shift their portfolio allocations to credit-oriented products with higher yields while further allocating investments to infrastructure and private equity investments.
According to Kevin T. Gannon, Chairman of Robert A. Stanger & Co., Inc., “Fundraising in business development companies, interval funds and private placements continue to dominate in the space as investors have shifted their investments away from non-traded REITs in 2024. Credit investments like non-traded BDCs and Interval funds have shown higher current returns in the high single digit to low double-digit distribution yields. The top fundraisers in the alternative investment space year-to-date are Blackstone, Cliffwater, Blue Owl Capital, Ares Management Corporation, and Kohlberg Kravis Roberts & Co.
Blackstone led non-traded BDC fundraising in 2024 with nearly $11 billion raised, followed by Blue Owl Capital with $6.6 billion, Apollo Global Management ($5.6 billion), Ares Management Corporation ($4.1 billion) and HPS Investment Partners (estimated $3.4 billion) round out the list of top 5 fundraising sponsors. Stanger expects that fundraising in public non-traded BDC will continue its blistering pace in 2025 and expects the full-year total to surpass $40 billion.
To request a copy of The Stanger Market Pulse or for further information on all available Stanger Publications, please contact:
Gregory R. DiSalvo
732.389.3600
gdisalvo@rastanger.com
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About Robert A. Stanger & Co., Inc.
Robert A. Stanger & Co., Inc., founded in 1978, is a nationally recognized investment banking firm specializing in providing investment banking, financial advisory, fairness opinion and asset and securities valuation services to partnerships, real estate investment trusts and real estate advisory and management companies in support of strategic planning, capital formation and financings, mergers, acquisitions, reorganizations, and consolidations.
Stanger is also well known for its flagship publication, The Stanger Report, a nationally recognized comprehensive report focused on non-traded REIT and BDC investing, including aggregate market statistics, total returns by company and total return indices, fee structure comparisons, and profiles of current offerings; The Stanger Market Pulse, focused on public non-traded REIT, non-traded BDC and other alternative investment fundraising; The Stanger Chairman’s Report, focused on NAV REIT and non-traded BDC sales and redemptions; The Stanger Interval Fund Report, focused on non-traded interval fund investing, and The Stanger Digest, a newsletter providing a weekly update on industry activities.
Stanger also recently launched Stanger Privates, a quarterly publication focused on Private Placement REITs and BDCs which is available exclusively to Stanger Institutional Access subscribers.
For More Information:
Kevin T. Gannon | Chairman & CEO | (732) 389-3600
Robert A. Stanger & Co., Inc.
1129 Broad Street, Suite 201
Shrewsbury, NJ 07702
www.rastanger.com
Member: SIPC
