From Par To Pennies

From Par To Pennies Submitted by QTR's Fringe Finance Private credit’s reckoning is not arriving with one grand, spectacular crash. It is arriving slowly and steadily, one loan at a time. For years, one of private credit’s great attractions was the remarkable stability (or perceived stability) of its valuations. Public bonds could fall ten points in a week. Leveraged loans could gap lower after a bad earnings report. But private loans somehow possessed the soothing ability to remain at 98, 99 or 100 cents on the dollar through almost anything, all while paying investors...