Sound Point Capital Management, a NYC-based international various credit score supervisor with greater than $44 Billion in belongings below administration, introduced the primary shut of Strategic Capital Fund III, with $1.1 billion in capital commitments.
Sound Level is concentrating on a ultimate shut of SCF III by year-end 2025 with a tough cap of $1.5 Billion.
The $1.1 Billion in commitments raised so far represents double the quantities raised for every of SCF III’s predecessors, SCF I and SCF II, which closed in 2018 and 2022, respectively, with $492M and $514M in commitments.
SCF III seeks to originate proprietary, first-lien capital options for primarily U.S. company debtors requiring bespoke, transitional capital. Leveraging the total scale of Sound Level’s giant and diversified credit score platform, the technique supplies short-maturity loans backed by collateral that may be transformed to money comparatively shortly, together with accounts receivable, tools, stock and different high-quality belongings. Because the technique’s inception, Sound Level has originated greater than $4.4 Billion of funding exercise, of which greater than 70% is funding grade rated.
Sound Level is an alternate asset administration agency based in 2008 with specific experience in credit score methods. It manages cash on behalf of institutional traders together with top-tier pensions, foundations, insurance coverage firms, wealth administration companies and household workplaces. Its methods span the spectrum of liquid and illiquid credit score alternate options and embrace funds and managed accounts targeted on leveraged loans, particular conditions, distressed debt, structured credit score, direct lending and industrial actual property.
It has workplaces in London, Greenwich, West Palm Seaside and San Francisco.
FinSMEs
11/08/2025
Sound Level Capital Holds $1.1 Billion First Shut of Strategic Capital Fund III
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Agency faucets demand for diversified Non-public Credit score publicity, Bespoke Structuring, Asset-Primarily based Underwriting
NEW YORK–(BUSINESS WIRE)–Sound Level Capital Administration, LP (“Sound Level”), a number one international various credit score supervisor with greater than $44 billion in belongings below administration1, as we speak introduced the primary shut of Strategic Capital Fund III (“SCF III” or “the Fund”) with $1.1 billion in capital commitments, exceeding each its first and ultimate shut targets of $500 million and $1 billion, respectively. Sound Level is concentrating on a ultimate shut of SCF III by year-end 2025 with a tough cap of $1.5 billion.
To this point, SCF III has obtained commitments from a various vary of subtle institutional traders, together with insurance coverage firms, private and non-private pension funds, asset managers and household workplaces primarily based throughout North and Latin America, Europe, and Australia. Notably, over 50% of first shut commitments got here from insurance coverage firms. Moreover, the Fund obtained a re-up price of 100% from institutional traders in its predecessor, Strategic Capital Fund II (“SCF II”), with a number of traders considerably upsizing their commitments.
The $1.1 billion in commitments raised so far represents double the quantities raised for every of SCF III’s predecessors, SCF I and SCF II, which closed in 2018 and 2022, respectively, with $492 million and $514 million in commitments.
SCF III seeks to originate proprietary, first-lien capital options for primarily U.S. company debtors requiring bespoke, transitional capital. Leveraging the total scale of Sound Level’s giant and diversified credit score platform, the technique supplies short-maturity loans backed by collateral that may be transformed to money comparatively shortly, together with accounts receivable, tools, stock and different high-quality belongings. Because the technique’s inception, Sound Level has originated greater than $4.4 billion of funding exercise, of which greater than 70% is funding grade rated.
“Debtors needing transitional capital are more and more turning away from industrial banks and in the direction of companies like Sound Level for dependable, tailor-made financing options,” mentioned Marc Sole, Deputy Chief Funding Officer of Sound Level and Co-Portfolio Supervisor of the Capital Options Group, which manages the Fund.
“We owe our observe document partially to our originations, enabling our workforce to proceed to capitalize on long run technique tailwinds, like banks transferring away from the sort of lending,” added Morgan O’Neill, Co-Portfolio Supervisor of the Capital Options Group.
“We’re delighted and grateful for the assist that Strategic Capital Fund III has obtained from traders at its first shut,” added Stephen Ketchum, Founder and Chief Govt Officer of Sound Level. “We imagine the Sound Level platform is completely suited to generate a lovely pipeline of alpha-generating asset-backed loans. The sturdy reception of SCF III, significantly from present traders, is testomony to this and we intend to deploy our traders’ capital to benefit from favorable market alternatives for this technique.”
| 1 The AUM referenced right here is predicated on Sound Level’s belongings below administration as of Might 31, 2025, and in addition consists of SCF III’s first shut commitments of $1.1 billion and a CLO priced on June 3, 2025. |
Notes to Editors:
About Sound Level Capital Administration, LP
Sound Level is an alternate asset administration agency based in 2008 with specific experience in credit score methods. Primarily based in New York Metropolis, with workplaces in London, Greenwich, West Palm Seaside and San Francisco, the agency manages cash on behalf of institutional traders together with top-tier pensions, foundations, insurance coverage firms, wealth administration companies and household workplaces. Sound Level’s methods span the spectrum of liquid and illiquid credit score alternate options and embrace funds and managed accounts targeted on leveraged loans, particular conditions, distressed debt, structured credit score, direct lending and industrial actual property. Sound Level presently manages $44+ billion1 of belongings and was based by Stephen J. Ketchum, who’s the controlling shareholder. 5 principals of Stone Level Capital LLC, in addition to Blue Owl GP Stakes, a division of Blue Owl Capital Inc. [NYSE: OWL], and Assured Warranty Ltd, are strategic traders in our enterprise. For extra data, please go to Sound Level’s web site at www.soundpointcap.com
Basic Authorized Disclaimer and Materials Danger Components:
Offered for informational functions solely and doesn’t represent a suggestion to promote, or a solicitation of a suggestion to purchase, any securities. This data doesn’t represent funding, tax, or authorized recommendation by Sound Level nor an opinion or advice relating to the appropriateness of any funding. Ahead-looking statements are topic to dangers and uncertainties, and precise outcomes and outcomes might differ materially from what’s expressed or forecasted in such forward-looking statements. Previous efficiency shouldn’t be indicative of future outcomes. This materials has been ready for distribution in the US. Unauthorized dissemination, distribution, disclosure or different use of the contents of this press launch is strictly prohibited and could also be illegal.
Besides the place in any other case indicated herein, the data supplied is predicated on issues as they exist as of the date of preparation and never as of any future date and won’t be up to date or in any other case revised to replicate data that subsequently turns into obtainable, or circumstances present or modifications occurring after the date of the hereof. Sound Level is registered as an funding adviser with the US Securities and Alternate Fee (the “SEC”). Sound Level’s Kind ADV, Elements 1A and 2A, is publicly obtainable on the SEC’s web site at http://www.adviserinfo.sec.gov. Half 2B is out there upon request. Being a “registered funding adviser” or describing Sound Level as being “registered” doesn’t indicate a sure degree of ability or coaching.
AUM figures supplied are as of Might 31, 2025, and in addition consists of SCF III’s first shut commitments of $1.1 billion and a CLO priced on June 3, 2025. Agency-wide AUM doesn’t embrace redemptions obtained or liquidations which may be in impact after Might 31, 2025. Agency-wide AUM, the place related, consists of dedicated capital to discretionary draw-down automobiles that haven’t but been drawn, entities that aren’t open to new traders and/or are within the technique of winding down and represents the closed whole dedication of all loans managed by Sound Level Industrial Actual Property Credit score as of Might 31, 2025, together with inherited portfolios managed that had been originated by one other supervisor and belongings attributable to a non-advisory shopper.
Materials Danger Components. An funding in SCF III entails substantial dangers that needs to be fastidiously thought of by any potential investor earlier than deciding to make such an funding. Potential traders ought to perceive the dangers related to SCF III embrace, however aren’t restricted to: market associated dangers; credit score dangers; second-lien, or different subordinated loans or debt danger; dangers related to competitors for belongings; chapter danger; rate of interest danger; and dangers related to non-financial danger concerns like ESG, cybersecurity, counterparty, enterprise continuity and catastrophe restoration, regulatory danger; and conflicts of curiosity associated to the funding itself and Sound Level’s concurrent administration of a number of funds and shopper accounts inside the similar technique and throughout different methods. It is a non-exhaustive listing of danger components and there could also be different dangers relevant to the SCF III that aren’t recognized on this abstract however should lead to materials losses to, or in any other case materially adversely have an effect on, an funding in SCF III. Please consult with SCF’s Confidential Providing Memorandum for a full listing of danger components. Danger components are additionally supplied in Sound Level’s Kind ADV Half 2A, which is publicly obtainable on the SEC’s website online. Potential traders ought to seek the advice of their very own authorized, funding, tax, and different advisers as as to whether an funding is acceptable for them.
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