financial services

Permanent Capital

Navigating new frontiers to diversify product offerings, access new types of investors and raise capital

The world’s leading asset managers turn to Dechert for sophisticated advice and integrated legal and regulatory services that help them advance their critical permanent capital strategies.

Our multidisciplinary permanent capital team comprises lawyers who have a detailed understanding of the most current trends and developments, the latest regulatory hurdles, up-to-the-minute market terms and an insider’s view on regulatory compliance. We represent the full range of alternative investment platforms, investment management companies–including business development companies (BDCs), closed-end funds, real estate investment trusts (REITs) and other permanent capital vehicles – as well as financial intermediaries serving such firms.

Dechert is a leader, among only a few law firms with experience in collateralized loan obligations (CLOs), corporate credit strategies and EU law governing such financial matters. We also are an innovator, having developed a structure that allows BDCs and other permanent capital firms to raise capital without running a foul of Dodd Frank’s new risk-retention requirements.

Clients often call upon us to advise them on an appropriate fund structure to address their specific business needs, such as whether a BDC, a traditional CEF or a private or offshore private structure would be most effective to advance their capital-raising goals. We have particularly deep experience in BDCs, having worked with this structure since it was first authorized by law in 1980. 

Garnering global recognition

Dechert has earned global recognition for work in the permanent capital space, including being named “Law Firm of the Year” around the globe by Private Debt Investor in 2017. Dechert was selected as the leading law firm in the Americas, Europe and Asia-Pacific, the first time that a single firm has won in all three regions. In addition, Creditflux’s Scrolls of Excellence Market Survey named Dechert “Best Legal Services Firm” (2015-2016) and Alt Credit Intelligence named Dechert “Best Law Firm Overall” in its 2015 European Services Awards and in its 2016 U.S. Services Awards.

Investment Management

Dechert represents 24 of the top 25 global asset managers worldwide. Our investment management lawyers, many of whom are former in-house counsel and regulators, guide clients on all aspects of organization and registration, and assist with developing and implementing compliance and supervisory oversight procedures.

Fund formation

Dechert advises sponsors and institutional investors in forming funds across all major asset classes, domiciles and structures, with attention to tax efficiency and market terms. We advise on both formation and ongoing operational matters, including those concerning allocation, co-investment and compliance matters.

Global finance

Dechert’s global finance lawyers advise on complex financings to alternative capital lenders, such as BDCs and other alternative capital clients (often involving CLOs, risk retention capital formation, term and structured term facilities, ABL revolving facilities, total return swaps and prime brokerage facilities). Many of these same BDC and alternative capital clients call on us again when they make debt investments (including first tier loans, second tier loans, mezzanine loans, unitranche financings and ABL financings).

Private Equity, Mergers and Acquisitions

Dechert regularly represents strategic and financial buyers and sellers in planning, negotiating and executing complex transactions in the asset management sector. We focus on structuring successful deals, ensuring speed-to-market execution, and protecting client interests in all phases of the transaction.

Capital Markets

Permanent capital clients and their underwriters rely on us to handle all of their capital markets transactions, including IPOs and follow-on offerings, rights offerings, preferred share offerings and liability management transactions. We have a track record of guiding our permanent capital clients through creative, sophisticated transactions that give them the flexibility to access assets that might otherwise be unavailable to them.

Cross-border registration and distribution

Dechert has a team of 60 lawyers that focuses on the structuring, establishment, approval, taxation and management of European-domiciled funds, including UCITS. We represent more than 60 UCITS fund complexes (comprising more than 600 funds) with respect to cross-border registration and distribution matters, including public registration in more than 30 countries and private placement in more than 120 countries.

Fund Regulatory Enforcement and Litigation

When permanent capital clients face adversarial situations, Dechert provides comprehensive representation, ranging from counsel on global regulatory investigations by the SEC and FCA to defense in high-stakes class actions, securities and derivative litigation and commercial disputes.


Our lawyers advise on complex tax issues that confront BDCs, investment trusts, open and closed-end funds, ETFs, ETPs, variable insurance funds and other alternative investment funds, as well as their investment advisers and boards of directors/trustees. We also handle ERISA issues and projects for several investment advisers and fund complexes, and provide extensive ERISA advice to sponsors of alternative investment products.