A borrower's market takes hold: Key takeaways from Private Funds CFO's Fund Finance Report 2026

Capital inflows and increased lender competition are contributing to changes in the fund finance market, including shifts in borrower financing conditions and the development of new financing products. In a recent keynote interview with Private Funds CFO, DLA Piper's Head of East Coast Fund Finance Katie McShane (New York) and Head of West Coast Fund Finance Shana Ramirez (Los Angeles) discuss trends influencing subscription finance, net asset value (NAV) lending, evergreen funds, continuation vehicles, and rated fund finance structures. 

The discussion highlights the subscription credit facilities market, which has become one of the most liquid segments within fund finance, supported by an expanding lender universe that now includes banks, insurance companies, and debt funds. At the same time, increased competition is changing how borrowers negotiate pricing and terms. 

Looking ahead, the interview discusses rated fund finance structures as an emerging area of market development. By securitizing subscription credit facilities and NAV loan portfolios, market participants are looking to access broader pools of capital, improve capital efficiency, and expand lending capacity. 

Key topics covered include:

• Trends in the subscription finance market and the impact of increased lender competition
• Developments in NAV lending and fund-level liquidity solutions 
• Financing considerations for evergreen funds and continuation vehicles
• Innovation in rated fund finance structures and securitization strategies 
• The evolving outlook for borrowers, lenders, and fund sponsors in the current market environment