Three Bets At The Table: The Major Distressed Investing Strategies For Hedge Funds and Private Equity

Three Bets At The Table: The Major Distressed Investing Strategies For Hedge Funds and Private Equity

August 2008: The NIC Insider (National Investment Center for Seniors Housing and Care Industry)

A few months ago, I received a call from a friend asking for contacts at mezzanine funds to help capitalize his new venture. As I thought about his question, I realized that it has become very hard to name a pure “mezz” fund. The predominance of hedge funds and private equity groups in the last several years has resulted in a convergence of capital. While there are, of course, funds that tend to make significant investments at the mezzanine level, the abundance of liquidity in the capital markets leading up to 2007 has caused so many funds diversify their strategies that, in many cases, they have become indistinguishable. For example, ask yourself — what is the difference between a private equity fund and a hedge fund? In many cases, the answer is now unclear.  Read More