Barry Nightingale’s Post

In Case You Missed It: The World's Largest Alternative Asset Manager, Blackstone, Believes The Private Credit Market Could Surge 20x To $25 TRILLION 🤯 Speaking to Bloomberg, Blackstone's CIO outlined 3 'generational' trends driving this growth: 1) Higher base rates, equity like returns with credit risk. 2) The secular shift from banks to private credit providers. 3) The proliferation of strategies to access the private credit opportunity. To put this into perspective, the private credit market today is only $1.7 trillion today. But if you think $25 trillion is a big number. Apollo Global Management, Inc. views the private credit opportunity at $40 trillion, with the majority being investment-grade. The growth of the private credit market is likely to be an extremely hot theme over the coming decades. Exponential.

News from Private Credit Market

"Private Credit" ♻️100% - Agreeance!! ♻️Individuals and/or firms that can confidently and integrally move away from the "traditional" means of lending, the constraints the banks hold on customers, the terms pushed onto the customer, and the "control", modern-day traditional lenders have on that same customer, will indeed push inflows into the Private Credit space! However, as stated by Eddie, the access into this space will eventually need identification & direction to supplement demand of the space! Big banks, have ruled too long, only to keep more & more money of the customer than is needed for the service these banks provided! ♻️Banks, were a great "holding place of cash", in the "old-days", but now the interest rates on cash held, is not even sufficient to cover inflation rates, fee's, and account costs. (The banks take & take & take, and offer up nothing in return)!! #banks #lenders #privatecredit #interest #interestrates #financial #privateequity #privaterealestate #financialinstitutions #bank #business #companies #loans #mortgage #mortgagerates #terms #pay #inflation #inflationrates #bankfees #fees #accounts #GMHI_Media_Co #GMHI_Trade_Co

In Case You Missed It: The World's Largest Alternative Asset Manager,Blackstone, Believes The Private Credit Market Could Surge 20x To $25 TRILLION 🤯 Speaking to Bloomberg, Blackstone's CIO outlined 3 'generational' trends driving this growth: 1) Higher base rates, equity like returns with credit risk. 2) The secular shift from banks to private credit providers. 3) The proliferation of strategies to access the private credit opportunity. To put this into perspective, the private credit market today is only $1.7 trillion today. But if you think $25 trillion is a big number. Apollo Global Management, Inc. views the private credit opportunity at $40 trillion, with the majority being investment-grade. The growth of the private credit market is likely to be an extremely hot theme over the coming decades.

For Qualified Investors looking to diversify away from the traditional equity and fixed income portfolios: Alternative Investments can be a great way to achieve this goal. When used appropriately, portfolios consisting of traditional assets classes along with a combination of Private Equity, Private Credit, Hedge Funds and Real Assets from top tier managers may help qualified investors achieve enhanced returns with reduced volatility. A few statistics: - 86% of U.S. companies with revenue of $100MM+ are Private according to Capital IQ - Companies are turning to Private Credit managers vs Bank Loans due to the efficiency of gaining capital, flexible structuring and greater certainty of terms according to Blackstone - A traditional 60% Equity/40% Fixed Income Portfolio has a roughly -.1, .7 and .4 correlation to US Core Private Real Estate, Direct Lending and Hedge Funds respectively according to J.P. Morgan - The annualize volatility of an 80% Equity /20% Fixed Income portfolio is roughly 13% whereas the annualized volatility of a 50% Equity /20% Fixed Income /30% Alternative Investments is 9.5% without losing return according to J.P Morgan using data from November 30th 2023

In the context of secondary markets for Private Equity firms, tokenization can significantly transform the landscape by introducing enhanced liquidity and transparency to traditionally illiquid assets. Secondary markets that can be tokenized include shares of private companies post-initial investment, allowing investors to buy or sell their stakes before a public offering or acquisition. Tokenization can also be applied to secondary transactions in real estate, enabling investors to trade fractions of property ownership without the need for cumbersome paperwork. Furthermore, debt securities, such as bonds or loan participations, can be tokenized to facilitate easier transfer and settlement. Even stakes in funds, including Private Equity, Venture Capital, and Hedge Funds, can be tokenized, offering investors the flexibility to adjust their portfolio allocations in response to market changes. This approach not only democratizes access to high-value investment opportunities but also introduces real-time pricing and reduces transaction costs, making secondary markets more efficient and accessible. IntelliWealth.co.uk #ESG #Markets #stockmarket #wealth #vc #invest #investment #investor #trader #trade #tokenization #intelliwealth #realestate #bonds #portfolio #hedgefund #platform #capital #capitalmarkets

“We are seeing that managers are simply calling more capital than they are giving back, in part because they recognize that they have to start putting all the capital they have raised to work as investment periods continue to tick by,” says Jochen Mende, Head of Private Equity Secondaries at UBS Asset Management. Read the full roundtable at http://from.ubs/6043YtHqf #PrivateMarkets #AssetManagement #PrivateEquity #ShareUBS

The GP-led secondary market continues to evolve and flourish, supported by ongoing demand for liquidity and a narrowing bid-ask spread between prospective buyers and sellers. In this Q&A, Nash Waterman, Portfolio Manager and Head of Private Markets Secondaries at Morgan Stanley Investment Management, discusses the burgeoning opportunity set for single-asset GP-led deals. Read the full article, 'Single-asset secondaries offer unique opportunity for buyout-like returns' here: https://zurl.co/gWfp

I expect improved results from Blackstone if interest rates decline but am currently not adding to my exposure. #Blackstone #BX #investing #equities #investments #portfolio #financialfreedom #equityinvesting #financialliteracy #investing101 #investingforbeginners