While private debt fundraising dipped in 2019 from the year before, infrastructure investing experienced record highs, Preqin data released Tuesday show.
Private debt managers worldwide raised $104 billion in 151 funds in 2019, down from $120 billion raised by 201 funds in 2018.
Looking ahead, nearly half of investors (44%) expect to increase their commitments in 2020.
There are currently 436 private debt funds in the market attempting to raise a combined $192 billion.
Despite the decrease in fundraising volume and value, private debt assets under management reached a record $812 billion as of June 30, the most recent data available.
Meanwhile, infrastructure investing is in the middle of a record boom. AUM reached $582 billion as of June 30, an increase of $59 billion in six months, the fastest rate of growth the industry has ever recorded.
Infrastructure investing is on track to hit $700 billion in AUM by the end of 2020, and $1 trillion by the end of 2022.
This growth is being driven by fundraising. Funds closed in 2019 secured $98 billion, making it the fifth consecutive record fundraising year. This included Global Infrastructure Partners IV, which became the largest ever infrastructure fund at $22 billion.
Preqin reported that 84% of investors intend to maintain or increase their allocation to infrastructure in 2020 compared with 2019. At the start of the year, there were 253 funds in the market collectively seeking $203 billion.
