Amundi Alpha Associates: the commitment to defensive direct lending and mid-market as the core value in private markets
26 FEB, 2026
Two years after the acquisition of Alpha Associates by Amundi, the firm has strengthened its position as one of the leading multi-manager platforms for private markets in Europe, combining two decades of experience in private equity, infrastructure and private debt with the global distribution capacity of the French group.
Petra Salesny, Managing Partner of Amundi Alpha Associates, explains in this interview why senior secured direct lending continues to offer the most attractive risk-return ratio, which market segments are beginning to show signs of complacency, and how discipline in underwriting, diversification, and access to top managers remain the pillars for generating alpha in a more competitive and mature environment.
Alpha Associates was acquired by Amundi in 2024. What changed after the operation and what remains exactly the same?
At the time of integration with Amundi, in April 2024, Alpha Associates had a 20-year track record in global investment in private equity, infrastructure and private debt, serving 100 institutional clients through fund of funds and segregated managed accounts in Europe, mainly in Germany, Austria and Switzerland. The combination of the multi-manager business that Amundi already had in Paris with Alpha Associates resulted in one of the leading multi-manager platforms for private markets in Europe.
Our investment processes, portfolio management and reporting —highly tested and successful— have remained exactly the same. What has changed is that the team and assets under management have grown. In addition, we can now not only offer institutional investors diversified solutions in closed funds, secondaries and co-investments, but also to private investors through semi-liquid evergreen vehicles. Thanks to Amundi's presence in 35 countries and its strong local teams, we have a much greater commercial reach and can serve customers according to their local needs. It is a highly complementary integration that brings together the best of both worlds.
In private debt, where do you currently find the most attractive risk-return ratio?
We were pioneers in launching a European multi-manager strategy for senior secured corporate direct lending (first lien) in 2015, and today we have the longest track record in this strategy, as well as a platform that brings together a wide range of leading managers, including strategies launched exclusively for our clients and on preferential terms.
The European corporate direct lending market has grown significantly and matured over the last ten years, while segments such as subordinated debt, mezzanine or distressed have remained smaller due to a clearly less attractive risk-return profile and higher fees. Senior secured direct lending works well throughout the entire economic and credit cycle, as long as it is implemented correctly.
We apply an “all weather” strategy at the most defensive end of the risk-return spectrum, diversifying between traditional first lien loans, stretched senior and unitranche; primary and secondary operations; financings with and without sponsor; and avoiding cyclical or capital-intensive sectors. When executed properly, this strategy presents low default rates, high recovery levels, reasonable fees and, consequently, a particularly attractive risk-adjusted return profile.
What signals would lead you to reduce exposure to private debt over the next 12 months?
Our investment philosophy is long-term and is based on consistency and discipline, with a strong emphasis on diversification, portfolio granularity and rigorous manager selection. Therefore, our private debt portfolios are designed as “all weather” portfolios, not subject to tactical adjustments.
Being an illiquid asset class, we necessarily adopt a long-term view and do not make short-term changes in portfolio construction. A reduction in risk would not be motivated by market volatility or short-term macroeconomic signals, but by a sustained deterioration of credit fundamentals or underwriting discipline, such as a structural compression of the illiquidity premium against liquid credit, a significant deterioration of credit documentation or capital inflows that exceed the quality of investment opportunities.
In that scenario, the response would focus on moderating the pace of new commitments and further tightening manager selection, rather than reducing the strategic allocation to the asset class.
Many LPs are increasing their exposure to private debt. What areas of the market today offer a truly attractive risk-adjusted return and which segments are more “crowded” or complacent?
In Europe we have consistently maintained a overweighting of the core and lower mid-market in our private debt portfolios, financing companies with EBITDAs of up to 50 million euros, where we consider the risk-return profile of the debt to be more attractive.
In the core and midmarket there is less capital raised than in the highly competitive upper mid-market, but a higher volume of financing operations, which allows managers to be more selective. In addition, covenant structures are more solid — there is no “cov-lite” — and credit parameters are more conservative. There is also no competition from the high yield market or leveraged loans, as medium and small companies do not have access to these financing markets, which reduces competitive pressure.
As with any investment in private markets, manager selection and diversification are key. We diversify by managers, borrower size, countries, sectors, vintages, primary and secondary operations, financings with and without sponsor, as well as between traditional first lien, stretched senior and unitranche. Concentration risk is the main enemy of profitability in private debt.
Within private equity, which segments do you find most attractive: mid-market, growth, buyouts, venture or others?
Our main focus and historical “sweet spot” is the buyout segment in the mid-market. We prefer companies where value creation is based primarily on operational improvements and not on financial engineering. In this segment we identify the best opportunities to generate alpha through operational efficiencies, professionalization of management teams, price optimization and disciplined buy-and-build strategies, usually with prudent levels of leverage.
Furthermore, this is a market clearly driven by access. Our long-standing presence and the deep relationships of the senior team provide us with constant access to high-quality managers, often with oversubscribed managers.
We also selectively allocate to growth and venture strategies, where access is even more limited and the dispersion of results especially high. Therefore, we focus exclusively on top-tier managers with whom we maintain consolidated relationships and a solid track record. Although these segments can be very attractive, especially in sectors with structural growth, they represent a smaller part of the portfolio and are always approached with a disciplined and diversified focus.
How does it analyze regulatory risk in the infrastructure sector? Is it the most underrated factor by the market today?
Regulatory risk has always been a central element in our infrastructure investment analysis, not a risk that we have recently started to pay attention to. We evaluate it market by market, paying special attention to the historical evolution of regulatory frameworks and their possible future development.
We favor jurisdictions with stable and consolidated regulatory regimes, in which regulators have demonstrated consistency, predictability, and independence. We are more cautious in those markets where regulatory decisions seem increasingly influenced by short-term populist or political factors, as this can erode long-term capital alignment.
Regulatory risk is one of the main risks we analyze, along with others such as demand, counterparty risk, or execution risk. We would not classify it as the most underrated risk factor by the market, although at certain times it may be poorly valued when it is assumed that periods of stability will continue indefinitely.
