VPC - Private Credit Outlook: The Heat Is On
2024-07-13 06:45:00 ET
Summary
- Competition for capital is heating up with the weather - a trend we expect to continue in the second half of the year as banks attempt to regain market share.
- While spreads have narrowed across public and private markets, the base rates used to price private corporate loans are likely to stay above their long-term averages, and illiquidity premiums on private debt remain intact across the risk spectrum.
- With spreads getting tighter and the ever constant of market uncertainty, it’s important that investors widen the opportunity set.
By Matthew D. Bass
Private market growth in recent years has been remarkable. We think there's more to come. ...
Private Credit Outlook: The Heat Is On