Super funds step up private lending in challenge to banks

Australia’s biggest super fund, AustralianSuper, plans to triple its direct deals in private credit by 2030, and other major funds are hunting for more lending opportunities as they start to challenge the banks as a source of capital for companies.

Increased regulatory scrutiny globally on bank capital had opened up the opportunity for super funds to participate more in leveraged buyouts and project finance, as well as direct lending, super fund chief investment officers said.