Private credit refers to loans by non-bank lenders, such as investment funds and speciality finance companies, that aren’t issued or traded on public exchanges. Although its history dates back thousands of years, it’s only over the past two decades that private credit has gained broad acceptance. Today, it represents a nearly $1 trillion dollar market globally.
While critical for the borrowers it’s intended to help, private credit has also become an increasingly important part of many investors’ portfolios as an alternative source of fixed income. In addition to generating higher yields than traditional income strategies, investing in private credit is a way to diversify your portfolio and reduce risk.
To find out more about investing in private credit, download our white paper and you’ll learn about:
- The origins of private credit
- Common forms of private credit and how each benefits borrowers
- Why you should consider allocating a portion of your portfolio to private credit
- Category-specific risks that private credit entails, and how best to mitigate those risks