Seeking attractive risk-adjusted returns with private corporate debt
We offer pan-European and North American investments in corporate debt. We focus primarily on mid-market issuers, or those that prefer club/syndicated deals with a few institutional investors.
We source opportunities across a diverse investment universe, typically for buy-and-hold investments. We invest in investment-grade or crossover small and mid-market firms from a variety of sectors, with maturities ranging between five and ten years.
The strength and depth of our credit research team provides robust governance, and our disciplined investment process incorporates environmental, social and governance criteria throughout the life of the assets.
Why invest?
Senior private corporate debt can help investors diversify exposures while delivering attractive risk-adjusted returns. Given the asymmetric risk profile of debt investing, our investment philosophy centres on managing downside risk, so we lend against core assets with asset security. Strong financial covenants are integral to our approach, and we avoid highly subordinated debt positions.
Risk-adjusted return potential
Carefully sourced and structured senior debt has the potential to generate higher yields without unduly increasing risk, helping investors improve their overall risk-adjusted returns.
Diversification
Because it is not listed, private corporate debt offers differentiation from public market instruments. Portfolio values also remain more stable over time, allowing investors to focus on the long term.
Illiquidity premium
The illiquid nature of the assets typically commands a premium over comparable listed credit.
Key risks of private corporate debt
Investment risk
The value of an investment and any income from it can go down as well as up. Investors may not get back the original amount invested.
Illiquidity risk
Certain assets could, by nature, be hard to value or to sell at a desired time or at a price considered to be fair (especially in large quantities), and as a result their prices could be very volatile.
Complexity risk
Assessing risk implications of multi-layered transactions is challenging.
Investment insights
Investment thinking that brings together the collective insight of Aviva Investors’ teams from across the globe on the key themes influencing markets.
Views
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UK low-carbon policy: What to look out for in 2026
27 Jan 2026
Aviva’s Nick Molho looks at this year’s policy priorities and likely developments for the UK’s low-carbon agenda, and reflects on what it means for investors.
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Continued momentum: The outlook for European Infrastructure debt
14 Jan 2026
European infrastructure debt enters 2026 in a healthy position, with no shortage of demand for its diverse range of opportunities. Nonetheless, investors need to be alert to various risks and conduct thorough due diligence, argues Darryl Murphy.
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Cities of the future: What will cities look like in 2050?
8 Jan 2026
Today’s private market investments will shape 2050 cities. We explore what this could look like, and the related challenges and opportunities.
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Boosting low-carbon investment in the UK: 2025 Roadmap Update
11 Dec 2025
In 2024, we outlined our view on the most important public-policy interventions to unlock private investment in the low-carbon economy. In this update, we take stock of policy developments since, and look ahead to 2026 and beyond.
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Navigating nature: Opportunities for the investor of tomorrow
10 Dec 2025
Our society, economies and financial systems are embedded in nature, not external to it. This paper sets out the actions we are taking to understand nature-related risks and opportunities to deliver outcomes that meet our clients’ needs, and to support nature-related global goals.
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Purposeful run-on: A credible alternative to buyout
5 Dec 2025
Discover why purposeful run-on is emerging as a credible alternative to buyout for well-funded defined benefit (DB) pension schemes – and how it can unlock long-term value while keeping clients' needs at the centre.
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Beyond buyout: Why DB schemes are reconsidering their endgame
4 Dec 2025
Significant shifts in the defined benefit (DB) pension schemes landscape mean that as schemes mature, trustees and sponsors now face a broader spectrum of strategic choices. We explain why the choice between buyout and run-on is no longer binary.
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Illiquidity premia in private debt: Q3 2025
12 Nov 2025
Having crunched the data, our private markets research team looks at how evolving macro conditions are impacting private debt returns.
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From niche to core: Asset-based finance emerges as a driving force as private debt markets continue to evolve
7 Oct 2025
Asset-based finance is capturing the attention of institutional investors – from pension schemes to insurers – thanks to its diverse risk-return drivers and its growing role as a strategic building block in investors’ portfolios.
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Energy-intensive industries: Unlocking low-carbon investment
16 Sep 2025
Vital industries for UK growth like steel or cement are also energy intensive, and their decarbonisation is essential. We convened a roundtable of experts to discuss barriers and solutions to unlocking low-carbon investment opportunities.
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Illiquidity premia in private debt: Q2 2025
14 Aug 2025
In our latest private markets deep dive, our research team crunches the data to see how evolving macro conditions are reflected in private debt returns.
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Building advantage: Finding a competitive edge in European high yield real estate debt
14 Jul 2025
While opportunities in European high yield real estate debt remain, growing competition underscores the need for deep market expertise, a robust underwriting framework, and disciplined deal selection to identify and capture resilient value.
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MegaTRENDs: Why TRENDs matter for investing in private markets
27 Jun 2025
A set of megatrends is reshaping the world, creating new opportunities and risks for investments in private markets.
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Illiquidity premia in private debt: Q1 2025
16 May 2025
In our latest private markets deep dive, our research team crunches the data to see how evolving macro conditions are reflected in private debt returns.
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A new era for APAC insurers: Infrastructure debt as a capital-efficient tool amid evolving RBC regulations
19 Mar 2025
As risk-based capital (RBC) frameworks are rolled out across the developed Asia-Pacific (APAC) region, insurers are having to rethink their asset allocations. European infrastructure debt could be an attractive addition to their toolkit.
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Private debt for DC pensions: The multi-sector opportunity
11 Feb 2025
As the search for better retirement outcomes for the 28 million members of the UK’s defined contribution (DC) pension schemes continues, where are the opportunities for DC investors in private debt and how can they be harnessed?
Private Markets Study
Private Markets Study 2025
In the seventh edition of the study, we collected the views of 500 institutional investors around the world. We delved into some of the key questions facing private market investors today: Why do they invest in private markets? How do they expect the asset classes to perform over the next few years? What are the biggest barriers to investing today? And how do they incorporate sustainability?
House View
House View
No one can predict the future. But our quarterly House View sets out the collective wisdom of our investment teams on the current state of global markets – and where they might be heading.
Article in focus
Illiquidity premia in private debt
Having crunched the data, our private markets research team looks at how evolving macro conditions are impacting private debt returns.
Private corporate debt team
Munawer Shafi
Managing Director, Multi-Asset (Private Markets) and Head of Structured & Private Corporate Debt
Nick Tune
Private Placements Credit Analyst, Private Corporate Debt
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Private markets
As one of Europe’s largest private markets investment managers, we have the scale to access the full depth and breadth of private markets.
Private debt
We finance bespoke structured finance and senior private corporate debt transactions, seeking to meet a range of client outcomes.