Private Credit: Is The Goldilocks Period Over For Credit?

ING Economic and Financial Analysis5.28K FollowersFollow5ShareSavePlay(8min)CommentsSummaryWe don’t see recent events in private credit as a systemic risk.Yet they raise important questions about the broader implications for spread markets, default rates, and the impact of questionable rating practices.Given the recent news flow, continued redemption pressure across private credit funds seems unavoidable, and most funds are likely to maintain caps or gates on withdrawals.While direct exposures to private credit may not constitute an immediate systemic threat, indirect transmission channels are far more concerning. SimonSkafar/E+ via Getty Images By Timothy Rahill, Credit Strategist and Jeroen van den Broek, Global Head of Sector Research We expect developments in the private credit market to remain in the headlines and contribute to the imminent repricing ofThis article was written byING Economic and Financial Analysis5.28K FollowersFollowFrom Trump to trade, FX to Brexit, ING’s global economists have it covered. Go to ING.com/THINK to stay a step ahead. We’re sorry we can’t reply to individuals' comments.Content disclaimer: The information in the publication is not an investment recommendation and it is not investment, legal or tax advice or an offer or solicitation to purchase or sell any financial instrument.This publication has been prepared by ING solely for information purposes without regard to any particular user's investment objectives, financial situation, or means. For our full disclaimer please click here.