Spotlight on private credit markets

10 min read 1 Sep 20

Summary: How have private credit markets reacted following the gradual easing of national lockdowns and unprecedented levels of financial stimulus?

With private market activity cautiously restarting, we offer insight into where we are seeing new opportunities emerge across the credit spectrum.

  • We have seen activity in private markets picking up, with a flurry of early-stage transactions in the pipeline, that are generally reflective of a shift in bargaining power in favour of lenders
  • Recent deals have offered an ability to negotiate better terms and structures than pre-crisis
  • The outlook for private assets continues to be supported by technical and fundamental factors.

The value of investments will fluctuate, which will cause prices to fall as well as rise and investors may not get back the original amount they invested.