The popularity of the direct lending market is likely to be structural and long-lasting, say Adams Street Partners’ Bill Sacher, James Charalambides, and Leland Richards to Private Debt Investor (PDI).
“Despite the variety of alternative structures, we believe plain vanilla senior term debt remains one of the most compelling areas for investors. This segment of the market is yielding very close to 12 percent, a level not seen for well over a decade. Senior term debt is also in the safest part of the debt capital structure. The twin benefit of high yields and defensive position make senior term debt a very hard proposition to beat, particularly in highly uncertain times.”
— Bill Sacher, Partner & Head of Private Credit
Learn more about Adams Street’s perspective in the full article titled, “Shift to Private Debt Represents ‘A Step Change’” in the April issue.
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