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• What Are NAV Facilities?
• Why Do GPs (or LPs) Use NAV Facilities?
• How Has the Market Evolved?
• What are the Key Structural Features of NAV Facilities?
• What is a ‘Typical’ NAV Security Structure?
• What are the Key Differences across Fund Strategies?
• What are the Standard Valuation Requirements?
• How Do NAV Facilities Affect Fund Performance Metrics?
• What Are the Risks to Borrowers?
• What Are the Risks to Lenders?
• What Does ���������ֳ� View as the Credit Risk Profile of NAV Facilities?
• How Have NAV Facilities Performed Historically?

The net asset value (NAV) finance market has seen significant growth in recent years, driven by the expansion of private capital funds and the maturation of the fund finance market. Cyclical factors, such as investment realisation challenges and fundraising headwinds in the current interest rate environment, have also played a role in increasing the demand for alternative liquidity sources for funds. NAV facilities can be used by private capital funds to:

• Lever returns,
• Finance or refinance asset acquisitions,
• Accelerate distributions to limited partners (LPs), or
• Support underlying portfolio assets with additional capital in a stress or for add-on acquisitions.

���������ֳ�’s primer report addresses common queries received on NAV facilities, including market developments and key features of the facilities.