Private debt is at an exciting stage in its development, with momentum building across various sectors as banks continue to scale back from traditional lending roles.
This shift presents unique opportunities for private credit lenders, who are stepping up to fill the void with innovative solutions and disciplined strategies.
Within the private debt sector however, some sectors are thriving while others, such as office real estate and corporate credit, are presently less in demand. This contrast arises primarily from macroeconomic factors that have created a mixed landscape for lenders. As a result, while there are attractive opportunities for private credit lenders, a disciplined and selective approach is essential for success.
The current environment is defined by elevated interest rates—a situation we haven’t experienced in nearly two decades. From a lender’s perspective, this creates a ‘golden moment,’ if not a golden age, for private credit. The shift in asset allocation towards private credit is undeniable, but it’s crucial to recognise that this moment doesn’t apply uniformly across all sectors.
Read the full ‘Thought Leadership’ article at the link below
