A Guide to Investment Grade Private Credit
With attractive yields, robust covenant protection, and a surprising amount of liquidity, investment grade private credit is a growing favorite of both investors and borrowers.
With attractive yields, robust covenant protection, and a surprising amount of liquidity, investment grade private credit is a growing favorite of both investors and borrowers.
Whereas Frost took the road less traveled, we insurance portfolio managers can take two (or more!) roads at once as we forge a path that delivers on our investment objectives.
Bank lending and deal flow on the decline, economic stress on the rise and some of the best yields our teams have seen. It’s a surprisingly good time for private credit.
Adding durable, low-cost external leverage to lower-volatility assets via the FHLB system can be an attractive way to enhance risk-adjusted return potential versus owning higher-volatility assets with more embedded leverage directly on insurance company balance sheets.
Higher investible yields and elevated volatility have combined to create meaningful opportunities for insurance companies with the willingness and ability to capitalize.