Investing in diversified private credit means gaining access to the stable cash flows and contained volatility of a broad range of unlisted asset classes including infrastructure and commercial real estate debt, mid-market loans and loans to small and medium-sized businesses.
As we argue in our ‘Shooting the rapids’ Investment Outlook for 2022, we believe now is a good time to invest in private credit: Liquidity premiums offer attractive returns relative to expensive equities and low-return government bonds. At the same time, demand for financing has been rising amid a boom in mergers and acquisitions, and for energy and digital transition infrastructure.
Watch our video on why investing in private debt means financing tomorrow’s economy