Core Insights - The influx of insurance capital into private markets is driving increased hiring and compensation in the sector, with senior managing directors seeking pay packages of $2.5 million and above [1][11] Hiring Trends - The latest recruitment report from RCQ Associates indicates that mandates for professionals skilled in asset-backed financing surged nearly 60% in 2025 compared to the previous year [2] - Hiring of experts in asset-backed finance is expected to continue growing despite concerns regarding private credit's vulnerability to AI advancements [3] - The structured finance market has not yet been impacted by recent risk aversion, although there is a rising demand for professionals capable of handling workouts and restructuring in case of defaults [4] Compensation Insights - RCQ Associates provides estimated compensation ranges for US-based asset-backed finance professionals, with senior managing directors earning between $1.25 million and $2.25 million, and those at the senior managing director level earning over $2.5 million [4][11] - The report highlights that base salaries and bonuses for top talent are increasingly supplemented by significant carried interest [2] Market Dynamics - The asset-based finance segment is one of the fastest-growing areas within private credit, appealing to insurers due to its long-dated, investment-grade investments with predictable cash flows [6] - Private credit firms are increasingly channeling investments to insurers, raising concerns about the complexity of the relationship between the two sectors [7] - Private credit now constitutes about one-third of total investments for insurers in North America, with most exposure classified as investment grade [8] Future Outlook - RCQ Associates anticipates that the demand for asset-backed finance talent will remain high due to substantial volumes of insurance capital flowing into the market, with private credit firms holding approximately $543 billion in unused funds [5] - A survey indicated that 56% of private credit industry professionals expect positive headcount growth in their teams over the next year [12]

Group 1: Investment and Partnership - KKR has announced a definitive agreement to increase its ownership stake in Altavair and its sister company, AV AirFinance, funded from its balance sheet [1] - This new investment strengthens the long-term strategic partnership between KKR and Altavair, which has seen KKR-managed funds commit over $5 billion to aircraft leasing and lending transactions since 2018 [2] - The partnership aims to support Altavair in meeting the evolving fleet needs of airlines and operators globally, highlighting the resilience of commercial aircraft assets across market cycles [3] Group 2: Leadership Changes - To facilitate Altavair's next phase of growth, Matthew Hoesley will expand his role to become President & Chief Commercial Officer, while Andrew Carpenter will take on the role of Chief Financial Officer [3] Group 3: Company Background - Altavair L.P. is an aviation asset manager that focuses on acquiring new and used commercial aircraft for leasing to airlines and cargo operators, having completed over $14.5 billion in lease transactions since its inception in 2003 [5] - Altavair has worked with over 80 airline customers across 50 countries, managing a portfolio of more than 300 individual Boeing and Airbus aircraft [5]