Deep Dive: It's a good time for private debt markets

Huge pool of SMEs

Kirsten Bode, co-head of private debt, pan-Europe, Muzinich & Co, dives into private markets

Consolidation and an increasingly stringent regulatory environment within the traditional banking sphere have reshaped the global lending landscape for small and medium-sized enterprises (SMEs). With the retrenchment of banks, private lenders have stepped in to fill the lending vacuum.  For fixed income investors, we believe an allocation into private debt may offer several benefits over traditional fixed income.  Potential for higher yields Private debt is an illiquid asset class - meaning investors are locked in for a set period of time - often a number of years. Loans from privat...