Fund finance has evolved from a relatively concentrated lending market into a broader and more sophisticated capital solutions ecosystem. For Fund Finance Partners, many of the developments now shaping the market represent the continued maturation of products and structures the firm has worked with since the industry’s early stages.
That perspective is reflected throughout Private Funds CFO’s 2026 Fund Finance Report, where the publication once again turned to FFP Co-Founder Zac Barnett for insight across the market.
The report centers on three forces reshaping fund finance: continuation vehicles, evergreen funds and securitization. Across those themes, Barnett focuses on the implications for structuring and underwriting: how recent third-party transaction pricing can provide an additional valuation reference in continuation vehicles; how redemption mechanics and a changing investor base affect financing evergreen structures; and how bank capital treatment is influencing the structure and duration of subscription facilities.
Barnett’s perspective extends beyond the cover story. He discusses greater syndication as banks manage hold sizes, the role hybrid facilities can play in providing borrowing-base capacity earlier in a private credit fund’s life, and the continued maturation of NAV finance as a portfolio-management and capital-allocation tool. In the NAV market specifically, he notes that current FFP transactions are predominantly being used in ways that are additive to the portfolio, including follow-on investments and add-on opportunities.
One of Barnett’s observations also closes the publication. In its “Final thoughts on the state of the fund finance market,” Private Funds CFO highlights his view that sponsors should think about subscription lines as more than purely revolving facilities, including whether terming out a portion of the financing can improve lender capital efficiency and lower borrowing costs.
Taken together, his commentary reflects a market becoming more precise in how capital is structured, underwritten and deployed, with financing increasingly tailored to the economics and structural characteristics of the individual fund.