Alex Blostein: Awesome. That’s great. Thanks for all the color. I appreciate it.
Operator: Your next question comes from the line of Dan Fannon with Jefferies. Please go ahead.
Dan Fannon : Thanks. Good morning. I was hoping to get a bit of a progress report on CarVal. 16 months or so post deal. You mentioned your fundraising environment being a bit difficult. But just in terms of how you had modeled and thought about this business to-date. Where it’s been versus kind of those expectations and maybe a little bit more of a look forward over the next kind of 12 months and what we should be anticipating.
Seth Bernstein : Thanks Dan. Let me start and Carl might – Onur might jump in as well. I keep saying Carl just to keep him awake. But look, I think as we have mentioned, while the market, the fundraising market is more challenging as rates have risen. It’s certainly also the case that the opportunity set, at least from our advantage point has improved and improved meaningfully. And so we are seeing areas to deploy and sort of beyond – I’ll focus on CarVal, but there are also topics that I would like to focus on beyond that. In addition to CarVal’s CVF 6, CarVal Value Fund 6, which as I mentioned we target for $2.5 million. We completed the Clean Energy two fund, that was triple the size of the first fund. They were already on the road with it when we closed the acquisition in July of last year.
But we’re very pleased despite the markets, to have gotten to $1.5 billion, and we’re in process of deploying there as well. We also are working with CarVal as Onur alluded to on an interval fund that we think has real application, both within our private wealth channel, but also beyond that, which is a more opportunistic kind of strategy. And CarVal as well along in its mandate with Equitable on a resident mortgage mandate which is – I think it was $750 million in total size. So on balance, I think from a new business perspective it’s moving as well as we could expect. But we are mindful of challenges in the fundraising markets, hence our desire to be conservative in our estimates on CVF 6 as we go out of the blocks there. But we’re also seeing opportunities in our Euro Cred Secured Income, Secured Income Fund Plus target, which is a $500 million fund raise really targeted at European and Asian investors.
We’re also seeing a focus on our private credit investors business in our direct lending evergreen funds, where we’re seeing appetite. Culturally, moving over to the other side Dan, because you asked about how the acquisition is going, I don’t know that I could be more satisfied by the cultural alignment we’ve seen, not just with the leadership of CarVal, but also I think more importantly in the different functions whether it’s in our distribution, their capital raising group, in our technology operations across the investment teams. They’ve been greeted and welcomed as partners and colleagues and I think they’ve taken a remarkably open stance in looking upon the firm as a resource, to help them enhance their potential, as well as to help us see what we can do better.
There are best practices there that we need to adopt more broadly and conversely elsewhere from the firm to CarVal. So we want to be slow and methodical. This was not intended to be an expense saving exercise, the acquisition of CarVal, but we’re obviously mindful of that in tougher markets. We’re pretty pleased so far. Turnover has been below where we had forecasted to-date. And on balance we’re pretty pleased Dan with the progress. I don’t know Onur, if you have anything you want to add there.
