Direct lending

Hidden fragilities may emerge amid persistent macroeconomic headwinds, writes Matthias Kirchgaessner, managing partner at PLEXUS Research.

Direct lending may be the most popular strategy for private debt investors, but heightened competition for deals means lenders are branching out.

Non-sponsored deals are becoming more prevalent in the private credit industry as lenders grapple with declines in private equity fundraising.

Private debt’s most popular strategy retains a lot of appeal for mid-market investors, but appetite for more innovative structures is growing.

Investors wishing to benefit from positive tailwinds across US, Europe and Asia-Pacific would do well to consider a global direct lending strategy that looks across all three markets, say Tyler Gately, Justin Hooley and Orla Walsh at Barings.

Private credit firms and investors look at how to make the best of what’s on offer in the mid-market amid a challenging macro environment.

The pension will combine public and private credit into a singular credit asset class.

Following a deployment of $4.1bn to private credit that started in 2024, the $57bn Texas system’s staff is pleased with returns and stability of high-conviction managers in asset class

Borrowers include both sponsor and non-sponsor backed companies across North America.

Liquidity considerations are top of mind as private markets funds reach retirement accounts.