As popularity of new Asset Classes grow, we like to keep a watchful eye. Rapid growth in an Asset Class can, historically speaking, lead to an overly aggressive participation and some time unknown danger.
Private Credit
While we could drone on for hours on this asset class, for now let’s keep this short, recall this venue is in part our living Diary, and a collection of sources for future reference – .From the Fed Reserve Notes February 23, 2024 Bold for emphasis by us:
“Private credit or private debt investments are debt-like, non-publicly traded instruments provided by non-bank entities, such as private credit funds or business development companies (BDCs), to fund private businesses.2 …..
Private credit typically involves the bilateral negotiation of terms and conditions to meet the specific needs and objectives of the individual borrower and lender, without the need to comply with traditional regulatory requirements.” (Under the radar)
Growth estimates from an April 2024 IMF comprehensive report
A really good start to our analysis on Private Credit… .No thoughts other than these observations as this time… Nice to have tons of sources to review. PS While we coded this Advanced Analysis – it is really Early Analysis…..The fun part of this industry is there are always new Asset Classes coming to the market place!
Have a Great “Private Credit Early Analysis” Day!
John A. Kvale CFA, CFP
AI Content Authenticity: All of the following text content has been completed by myself and has not been edited or created by AI. Occasionally we do use AI for images and will note when appropriate.
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
