Ares Management closed its Ares Pathfinder Fund at $3.7 billion, a news release said Tuesday.
The alternative credit fund closed well above its fundraising target of $2 billion.
"We see distinct similarities between today's alternative credit market and the corporate direct-lending market of 10 years ago," said Kipp deVeer, partner and head of the Ares Credit Group, in the news release.
"We have strong conviction that there is a sizable and growing market to make attractive investments in this important asset class and we intend to continue to invest time, capital and resources to support this growth," he said.
Investors include the $35.7 billion Texas County & District Retirement System, Austin, and the Vermont Pension Investment Committee, Montpelier, which oversees the $5.3 billion Vermont State Retirement Systems.
As of Dec. 31, Ares Management had about $197 billion in assets under management, about $13 billion of which was in alternative credit strategies.
A spokesman for Ares Management could immediately provide further information.