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Lower portfolio yields and rising non-accruals are largest threats to BDCs' performance.
Firms are increasingly looking for private debt professionals who can offer them ‘the whole package’, but a dearth of specialist talent is highlighting the challenges of hiring.
An evolving investor base is creating an environment in which private credit can flourish, says abrdn Investments' head of private credit Neil Odom-Haslett.
Private credit managers should focus on the timeless values that will serve them well despite broader market uncertainty, according to David Golub, president of Golub Capital.
Collateralised loan obligations are growing in popularity across the equity and credit markets, but some areas are gaining more traction than others.
Bank lending to funds is a growing source of concern for regulators.
With borrowers having been put under pressure by rising rates, managers face some tough decisions on whether to sell or stay the course.
Dividend recapitalisations also trend up, but only among higher-rated borrowers.
A plethora of pressures point to challenging times for some parts of the private debt market.
Investor faith in the asset class has been preserved, even through challenging times.