JPMorgan’s hedge fund firm, Highbridge Capital Management, has raised $3 billion for a direct lending fund.
Financial Times reported that the new fund, which will capitalize on the decline in traditional bank lending, will target middle-sized companies.
The article also said according to the International Monetary Fund, European banks are expected to decrease their balance sheets by about 7% of their assets by next year.
Mike Patterson, who will manage the new fund, told Financial Times that the new offering will invest 80% in the U.S., and the rest in Europe.
Highbridge Capital manages about $26 billion in capital.