HedgeNordic has interviewed Scandinavian Credit Fund´s CIO Fredrik Sjöstrand on how the fund has managed to perform sub-target, yet positive, single-digit returns, despite facing some challenging conditions in the last couple of years.
Key take-aways below:
- Even in the worst of times, Scandinavian Credit Fund I continues to deliver positive single-digit returns to investors for a sixth consecutive year
- The low-interest rate environment of the past decade has forced direct lending players such as Scandinavian Credit Fund I to accept lower rates from borrowers. but signs are pointing to change
- With inflation and interest rates on the rise, the team led by Sjöstrand has increasingly been opting for floating-rate loan agreements with borrowers
- Having approached only Nordic investors so far, the plan is to roll out Scandinavian Credit Fund I beyond the Nordic borders