Barings Plans Australia Private Debt Fund to Fill Funds Gap (1)

Barings LLC is planning an Australian private credit fund, seeking to provide an alternative to banks and the bond market, an executive at the investment company said.

The fund, to be launched by Barings Australia, hopes to raise A$1.4 billion ($893 million) from institutional and high net-worth investors in the next 12 to 18 months. The money will be lent to Australian corporate borrowers, Shane Forster, head of the firm’s Asia Pacific private finance group in Hong Kong, said in an interview.

Private credit has grown into a $1.6 trillion market worldwide as banks shy away from more risky ...