Reported 4 months ago
Julie Hyman discusses the hot and potentially risky asset class of private credit in the Morning Brief. The private credit market, mainly handled by firms like Blackstone, Apollo, and KKR, is estimated at $2.1 trillion in 2023. Although Jamie Dimon mentioned potential issues, such as lack of liquidity and transparency and the risk of systemic problems, the IMF doesn't see these risks as systemic yet. Money has been flowing into private credit as it's marketed as safer, but risks remain. JPMorgan, despite discussing risks, is actively involved in direct lending and considering acquiring in this space.
Source: YAHOO