Get the Facts on Interval Funds

The search for yield from conventional sources of income for investors is increasingly difficult for the 60/40 investor. Whether due to zero interest rate monetary policy or shrinking corporate yields more high net-worth investors are turning to alternative credit investments, including private loans, complex or illiquid credit and distressed credit in the hunt for income.

Shrinking public markets have limited the playing field for the average investor, with the number of public companies declining by 40-50% over the last decade. More ‘unicorn’ companies are staying private longer with the gains being captured within private equity.

Due to this, the interval fund structure has started gaining assets and growing in popularity.

This fund structure provides the flexibility to invest across alternative asset classes that more closely mirror the full range of investment options that are available within the qualified purchaser (QP) universe and makes them available to ALL clients without additional paperwork complexities.



An interval fund is an investment vehicle that occupies the space between open-end and private funds. While the overall market size is still small, new registrations for interval funds are outpacing registrations for other structures for investing in illiquid assets, such as nontraded REITs and nontraded business development companies.

Interval funds can provide access to the portions of the investment universe which would otherwise be difficult to reach for all investors.



Adding interval fund exposure has many benefits. Our research piece answers 7 key investor questions on the structure including:

  1. How large is the interval fund market, and how quickly is it growing?
  2. What types of investments are held in interval funds?
  3. Why do asset managers choose the interval fund structure?
  4.  What types of investors should consider investing in interval funds?
  5. What are the potential investor benefits of interval funds
  6. What are the noteworthy risks for interval fund investors?
  7. How can investors buy and sell shares of interval funds?

We answer these questions along with other background on the interval fund landscape in our overview.


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Have additional questions on interval funds?  Contact Vivaldi Asset Management.