U.S. middle market optimism outshines the world
This week’s chart examines the case for U.S. middle market firms, which expect a notably brighter future than their international peers.
Private credit loss rates don’t support draconian headlines
Direct lending loss rates compare favorably to much of the leveraged finance market, as this week’s chart shows.
Private credit valuations proven conservative over time
Private credit investors’ realized losses have been about half that of unrealized markdowns during the past three periods of market stress.
As private credit grows, underwriting standards remain healthy
Lenders requiring more equity and less leverage, suggesting healthy private credit lending standards.
Private credit attractive to sponsors and investors
Private credit has become PE sponsors’ primary source of financing for LBOs and M&A activity as the asset class becomes increasingly mainstream.
Private credit maintains its healthy yield premium
Amid private debt’s massive growth, this week’s chart looks at the healthy yield premium of private credit transactions compared to public markets.
