Neuberger Berman, a global, private, employee-owned investment manager, is pleased to announce the launch of NB Asset-Based Credit Fund (the "Fund"), the firm's first interval fund, which offers a private credit solution for individual investors.

The Fund, managed by Neuberger's Specialty Finance group, seeks a high-level of current income through an actively managed portfolio focused on short duration, asset-based credit investments in various sectors including receivables lending, consumer, small business, and real asset sectors, as well as revenue-based loans and public asset-based securities. The vehicle is registered under the Investment Company Act of 1940 as a closed-end fund structured as an interval fund and will continuously offer its shares on a daily basis. The Fund intends to qualify for 1099 tax reporting, has low investment minimums, daily valuations and limited quarterly liquidity opportunities via repurchase offers. 

"We are excited to provide individual investors with investment opportunities that have historically been offered primarily to institutions," said Peter Sterling, Head of Neuberger Specialty Finance group. "We aim to deliver high current income that is uncorrelated to many other credit investments and diversification to portfolios across varying market environments, and the introduction of our first interval fund continues that goal."

The Fund launch is timely, as the asset-based credit market has grown to over $5 trillion, a reflection of continued retrenchment from traditional bank lenders. As individual investors broaden portfolio allocations to alternative strategies, the Fund can serve as an opportunity for diversified income and return streams. The Fund is expected to benefit from the Neuberger Specialty Finance team's strong industry relationships – offering opportunity to participate in loan origination – coupled with an average of over 20 years of experience in investment management within a wide range of partnerships with well-established companies.

"Financial advisors are growing increasingly sophisticated in their use of alternative assets in client portfolios. The NB Asset-Based Credit Fund offers an accessible structure for investors to achieve that goal," said Scott Kilgallen, Managing Director and Head of North American Intermediary at Neuberger. "The Fund is launching at a critical moment as financial advisors are looking for diversified sources of credit returns, and Neuberger is well positioned to capitalize with a seasoned team whose deep industry network enables opportunities for attractive deal flow origination and structuring."