Fundraising has consistently outpaced deployment, leaving large cap PE with 3.5 years of buying capacity.

Given the volume of exits in the queue, secondaries are likely to play an increasingly vital role.

The market has priced in significant Fed rate cuts by mid-2025, which will reduce private credit’s yield. With inflation normalizing, however, real yields should remain attractive relative to history.

The ingredients for a market rebound are present, setting the table for a more appetizing menu of investment opportunities in 2025 and beyond.

Head of Public Policy Jason Cole and Executive Director of Research Andrew Korz delve into the potential political response and market impact.

Fundamentals have been impressively resilient in the face of higher rates and new supply, but financing costs are driving a wedge between buyers and sellers.