What does the private credit crisis mean for allocators?

Amid market turbulence and high-profile collapses, industry leaders argue that private credit remains a resilient and essential pillar of insurers’ long-term investment strategies despite mounting scrutiny.

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Private credit is in the news for all the wrong reasons, but what's the real story, and what does the industry say?

A war of words has erupted in financial markets after the failure of several companies engaged in the use of private credit financing structures.

However, many in the insurance asset management industry have told Insurance Investor that the issue is being simplified, and blame is being apportioned to the wrong areas.

Asset allocation and investment strategy with private markets is a key area of interest to insurers right now. As the private credit market experiences choppy waters, there could be pressure for investors to make extractions from a volatile market even if it offers good returns in the long term.

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